Swift gpi is a service level for cross-border payments on Swift, launched in 2017, under which banks agree to credit funds on the same day where possible, show the fees deducted, pass remittance information unchanged and update a central tracker at each step. Each payment is followed end to end through its UETR.
UETR (Unique end-to-end transaction reference)The UETR is a 36-character unique reference in the UUID version 4 format that the first bank assigns to a payment and that every bank in the chain must pass on unchanged. It lets all parties track the payment in the Swift gpi tracker and link investigations, returns and recalls to the original payment.
Correspondent bankingCorrespondent banking is an arrangement in which one bank (the correspondent) holds deposits for another bank (the respondent) and makes and receives payments for it, usually in a currency or country where the respondent has no direct access. It underpins most cross-border payments and requires due diligence on the respondent.
Charge bearer codes (OUR, SHA, BEN)Charge bearer codes state who pays the fees of a cross-border payment: OUR (the payer pays all charges), SHA (each side pays its own bank) and BEN (the payee pays all, deducted from the amount). ISO 20022 uses DEBT, SHAR and CRED, plus SLEV, which follows the service level rules and is mandatory in SEPA.
Payment recallA payment recall is a request from the payer's bank to the payee's bank to return a credit transfer already executed, for example after a duplicate, a technical error or fraud. In ISO 20022 it travels as a camt.056 and is answered by a pacs.004 return or a negative camt.029. The payee's bank, and often the payee, must agree.
Swift (network)Swift is a cooperative, owned by its member institutions, that runs a secure messaging network for payment, securities and trade messages between banks and other institutions worldwide. Swift carries instructions only: it holds no accounts, and the money settles on the books of banks or in central bank systems. Members must meet its Customer Security Programme controls.
Remittance informationRemittance information is the data in a payment that tells the payee what the payment is for, such as invoice numbers. It can be unstructured free text (140 characters in SEPA) or structured, such as a creditor reference under ISO 11649 starting with RF. Good remittance data lets the payee match payments to invoices automatically.
UETR (Unique end-to-end transaction reference)The UETR is a 36-character unique reference in the UUID version 4 format that the first bank assigns to a payment and that every bank in the chain must pass on unchanged. It lets all parties track the payment in the Swift gpi tracker and link investigations, returns and recalls to the original payment.