Your directors have been monitoring Bank First’s internal preparedness for the launch of Australia’s new payments infrastructure and system, the ‘New Payments Platform’ (NPP). Bank First will continue to communicate its practical introduction and uses to Members.
Back in 2012, the Reserve Bank published the Conclusions of the Strategic Review of Innovation in the Payments System. It detailed new strategic objectives for the Australian payments system. They particularly wanted people and businesses to be able to make real-time payments, send more descriptive information with payments and be able to do so outside normal business hours. The Reserve Bank invited industry to determine the most effective way of delivering on those objectives.
Now, after five years of development, Bank First and other financial institutions, businesses and government agencies are excited about the imminent activation of NPP. It will provide open access infrastructure for fast payments in Australia and introduce one of the biggest changes in your ability to transfer funds and make payments to people, businesses or banks in seconds. In summary, you will be able to send and receive money 24 hours a day, 7 days a week, 365 days a year. Some other benefits are, faster funds availability, no cut-off times, easy to remember payment addresses such as using an email address or mobile number for direct payments instead of remembering BSB numbers and account numbers, and provides the ability to describe in more detail the payment description.
It is a completely new payment infrastructure system providing for fast, flexible and data-rich payments designed for current as well as future needs, and involves everyone i.e. government, businesses and consumers. You will be invited by Bank First to create a Pay ID which allows you to link a phone number, email address or ABN to your Bank First account to transfer and receive money. However, you will still be able to use yours and others BSB and account numbers to make payment transactions as you do today.
Finally, the NPP has been designed to be incredibly secure with Bank First putting systems in place to prevent your account from being compromised.
We are proud that Bank First has been one of the leaders in facilitating the implementation of NPP and we look forward to working with you as this new financial payments system is launched.