Bank of England Allows Non-Banks to Access Central Clearing Systems

Financial Chat Fintech Chat
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Holding their own settlement account at the Bank enables these non-bank PSPs to apply, for the first time, for direct access to the UK’s sterling payment systems that settle in sterling central bank money, including Faster Payments, Bacs, CHAPS, LINK, Visa, and, once live, the new digital cheque imaging system.

here’s the news story from Tom’s tweet -

http://www.bankofengland.co.uk/publications/Pages/news/2017/048.aspx

It’s great to see these systems being open up, to enable FinTech companies to increase user’s access to these services :tada:

This is good news for some of Monzo’s competitors :eyes:

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Will the Monzo account be relying on a another bank for its clearing?

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No. Monzo is fully independant for the Current Account.

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Monzo can’t clear cheques independently so they must have another bank providing this service for them.

Sort code: 04-00-04
MONZO BANK LIMITED

  • Faster Payments can be sent to this sort code.
  • Bacs Credit payments can be sent to this sort code.
  • Bacs Direct Debits can be set up on this sort code.
  • CHAPS Payments can be sent to this sort code.
  • Not eligible for Cheque & Credit Clearing.
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Yes, they have confirmed that they use another bank to clear cheques, but for all the electronic payment systems, they are directly connected.

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Sorry, I thought the question referred to electronic payements.

Cheques are so out date I never even considered them :stuck_out_tongue:

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Some of us still have old school grandparents and parents that still love a good cheque!

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That is true. If I ever get a cheque I just drop it at a PostOffice so I don’t think I’ve been into my physical Lloyds branch since I opended the account!