New initiative funded by the FSC assists banks

The Turks and Caicos financial Services Commission (FSC) today announced that a recently set up Committee, made of representatives from all TCI licensed banks and chaired by the Commission, will be meeting tomorrow Tuesday February 17th, 2015.

Committee members will be discussing and taking forward steps to implement an Automated Clearing House system (ACH) for banks in the TCI. 

ACH is a computer-based clearing and settlement facility established to process the exchange of electronic transactions between participating banks. The system is set to improve the level of service currently offered by performing real time payment and eliminating the existing mandatory clearing period imposed by banks when either party to the transaction is not their customer. The automated service will also lower the cost of check processing as well as streamline the clearing process by handling large volume of credit and debit in batches. 

Members of the Banking Association are in full support of the new electronic network, as its implementation should adequately address issues with the way clearings are currently handled, the waste of time and resources spent as well as assist reducing human errors.
Service providers Montran, Aperta and Jack Henry Associates have all been invited to present their software platform to the Committee in the coming weeks. Following their presentation, members of the Committee are expected to recommend their choice and start determining rules to govern the system.

Once implemented, membership in the ACH – Automated Clearing House – will be mandatory for all banks holding a “National” license. 

The Turks and Caicos Financial Services Commission (Chair), Turks and Caicos Banking Association, Royal Bank of Canada, Scotia bank, First-Caribbean International Bank, Turks & Caicos Banking Company, British Caribbean Bank and Bordier Bank make up the Membership of the Committee, which includes one representative for each organisation.