Standardized data format
ISO 20022 will replace all technical interfaces previously in place between bank clients and financial institutions. In the future, all the information for transfers will be sent and received in XML format, and to this end the previous formats used by Postfinance and the other banks will be harmonized. XML is superior to the old data formats, both structurally and in terms of content. The data fields allow considerably more characters. All payment and control processes are seamlessly integrated and, following the changeover to ISO 20022 and the new message types, are much more efficient and economical in design.
Partners working hand in hand
All communications between enterprise resource planning (ERP) software and financial institutions will be in XML format. This means any biller with software-based accounts receivable, accounts payable, and payroll accounting will also have to migrate its systems to the new standard. Financial institutions are supporting their clients with the changeover, and for several years have been working closely with the software industry to make sure updates are available in good time. Many ERP providers have already launched software modules and are actively working to ensure a timely, successful transition.
Making the changeover in good time
Organizations, especially those with a high level of software integration, should already be contacting their financial institution or software partner to initiate the transition. By mid-2018 the current procedures, standards, and formats for credit transfers, notifications, and reporting have to be replaced. Following a transitional phase, from 2020 the old message types will no longer be supported. More
Ticking many boxes
Despite the high degree of digitization, all the information relevant for the payment can still be read without technical tools, which means it will continue to be possible to make payments manually and on a paper basis. Thanks to larger data fields provided end to end and the new QR-bill, compliance with anti money-laundering requirements will be easier and more efficient. More