Ben Squires
Retirement Income

Major bank transfer changes coming on Australia Day

Major bank transfer changes are set to be rolled out on Australia Day 2018, completely overhauling the way we conduct banking transactions in this country.

Australia’s major banks are set to put the finishing touches on a new payments platform (NPP) that will allow for real-time payments between customers of different banks.

NPP Australia Adrian Lovney told Fairfax, "Our aim was to be live in the last quarter of 2017; we're on track to do that.

"All of the banks that are participating are moving in absolute lockstep and absolute unison through the final stage of testing, and we anticipate a strong take-up and a strong participation at launch," he said.

"When people come to work after Australia Day, the platform will commence rolling out to the public at large."

The substantial project which was triggered by a review of Australia’s payment infrastructure in 2012 will mean customers from different banks can make and receive payments instantaneously, 24 hours a day and seven days a week.

Customers will be able to arrange payments with a “PayID” instead of an account number or BSB and be able to included 280 characters of text with a payment.

Mr Loveny added a word of warning however, suggesting that customers should remain vigilant and be on the lookout for scammers as the project is rolled out.

"With any new system that is introduced, you will see a spike in activity as people think about how they can take advantage of the change, but banks will continue to put in place systems behind the scenes to try to protect customers from being tricked," he said.

What are your thoughts? Do you think the changes are a winner?

Tags:
finance, bank, Australia Day, retirement income, Bank transfer