Glossary

Direct Credit

Is an electronic Transfer of funds through the Automated Clearing System such as CHAPS.

How does Direct Credit work?

Direct Credit works by Originator initiating the Transfer whilst submitting the order to his/her Financial Institution. The Originating Financial Institution then checks whether the authorisation was performed correctly and subsequently processes the submitted Order. It further transfers the information through the Clearing System and then Receiving Financial Institution communicates to the Beneficiary and Originating Financial Institution.

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