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Banking Technology and Operations Week 6

Diploma in FI 4 hours
Year 2
Payments

Team Members
1 2

3 4

5 6

Module Learning Objectives

 Understand the different payment instruments and the roles of various

participants of a payment ecosystem
 Understand the Singapore cheque clearing process using Cheque Truncation
System
 Understand the concepts of ‘clearing’ and ‘settlement’
 Understand the Interbank GIRO system and process
 Understand the NETS EFTPOS retail payment systems
 Understand the online access process for retail payments
 Understand the role of SWIFT in facilitating cross-border payments

Activities (100 marks)

Activity #1: CTS

Refer to the case study “Cheque Truncation System: Image-based Clearing

Payment System” (by Narinder Kumar Bhasin, AXIS Bank Limited, New Delhi):

a) What are the benefits of CTS to the banks and their customers?
(20 m)
b. Section 2 of the case study states “…that the geographically smaller
countries are the ones that have been able to implement the process of
truncation, be it Greece or Singapore or Belgium. Cheque truncation has
been less than a complete success in larger countries.”

Why do you think this is the case? (20 m)

Activity #2: SWIFT Messaging Service (eLearning and Quiz)

a) Financial Messaging Standards by SWIFTSmart

Follow this introductory course to review the value of standardization for the financial
markets and lays out the various standards made available by SWIFT.
Complete the eLearning activity.

BTO Last update 17-5-2018

 Page 2 of

(http://www.swiftinstitute.org/wp-content/uploads/stories/financial-messaging-
standards/story_html5.html)

Take a screenshot of your results after you have completed the quiz

(30 m)

b) SWIFT Messaging services by SWIFTSmart

Follow this introductory course to understand which SWIFT messaging services best
meet the business needs of your institution and community.

The following messaging services are covered: FIN, InterAct, FileAct, Web Access
and MI Channel.
Complete the eLearning activity.
(http://www.swiftinstitute.org/wp-content/uploads/stories/messaging-services/
story_html5.html)

Take a screenshot after you have completed the quiz

(30 m)

BTO Last update 17-5-2018