Whenever we make a payment through internet banking or set up a direct debit, money has to go from your bank to the gas company for example.
As we can imagine there are millions of these payments flying around each day. Rather than each bank paying directly to the other banks, which would mean lots of separate connections between banks, it is easier to have a central hub in middle.
All bank payments go into that hub the hub then sorts them into the right order, sends them on their way and then settles with the Bank of England.
Vocalink is that hub.
- It sits between all the banks,
- Transfers the payment messages &
- Makes sure the money at the end of the day is settled at the Bank of England.
They have been doing that for about 50 years so the tech has changed a lot
But they now look after
- The Bacs (Bacs Payment Schemes, formerly known as Bankers’ Automated Clearing Services),
- Faster Payments and LINK (which is the domestic card payments ATM scheme).
No comments:
Post a Comment