Australian Payments Clearing Association
Encyclopedia
The Australian Payments Clearing Association (APCA), established February 1992, is an organisation that sets, manages and develops regulations, procedures and standards governing payments clearing
and settlement
within Australia
. Payments systems covered by APCA's rules include cheques, direct entry, ATM/EFTPOS and high value. APCA is a company limited by guarantee owned by bank
s, building societies
and credit union
s. APCA is the regulatory body of the Bank State Branch Numbers
.
APCA's role is to manage and develop the Australian payments clearing system, so as to:
Clearing (finance)
In banking and finance, clearing denotes all activities from the time a commitment is made for a transaction until it is settled. Clearing is necessary because the speed of trades is much faster than the cycle time for completing the underlying transaction....
and settlement
Settlement (finance)
Settlement of securities is a business process whereby securities or interests in securities are delivered, usually against payment of money, to fulfill contractual obligations, such as those arising under securities trades....
within Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
. Payments systems covered by APCA's rules include cheques, direct entry, ATM/EFTPOS and high value. APCA is a company limited by guarantee owned by bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
s, building societies
Building society
A building society is a financial institution owned by its members as a mutual organization. Building societies offer banking and related financial services, especially mortgage lending. These institutions are found in the United Kingdom and several other countries.The term "building society"...
and credit union
Credit union
A credit union is a cooperative financial institution that is owned and controlled by its members and operated for the purpose of promoting thrift, providing credit at competitive rates, and providing other financial services to its members...
s. APCA is the regulatory body of the Bank State Branch Numbers
Bank State Branch
A Bank State Branch identifying code is a six digit numerical code used within Australia that identifies an individual branch of a financial institution...
.
APCA's Objectives
APCA's stated mission is "to achieve and maintain international best practice in the operation of the Australian payments clearing system."APCA's role is to manage and develop the Australian payments clearing system, so as to:
- preserve the integrity of the system;
- identify and control settlement risk;
- improve the effectiveness and efficiency of the system;
- ensure principles of equity and competitive neutrality are applied in determining participation in the system;
- facilitate the co-ordination of payments clearing arrangements among providers of payment services; and
- assist the community's understanding of the system and ensure that public debate is well informed.