What is the New Payments Platform?
The New Payments Platform is a new banking infrastructure in Australia which had its initial rollout (Round #1) in February 2018.
What is Osko and PayID?
Osko: A real-time transferring service, aiming to replace the old batch transfer system and the RTGS (Real Time Gross Settlement). Funds transferred through Osko are cleared near instant and are then made available to the recipients account in less than sixty seconds (albeit caveats with some banks).
PayID: A PayID is a unique character string which links back to your account. You cannot make payments/direct debits through a PayID. You can only receive money through a PayID. Funds transferred to a PayID are made exclusively through Osko or a bank's Fast Settlement Service. Currently most banks offer a user to set an email address or mobile number to a PayID.
Do I need a PayID to make and receive Osko transfers?
Absolutely not most of the time (one bank is completely opposite). Cuscal institutions, Bankwest (slowly rolling out), ANZ, Westpac and NAB allow Osko transfers to a normal BSB and account number. As long as your financial institute supports the New Payment Platform, you should be a-ok.
For Westpac users, you will need to have the PayID functionality readily available in order to make Osko transfers. (This does not mean that you need to create a PayID). If you do not have the ability to create a PayID, you will need to wait as Westpac is taking a dumb approach to rolling the system out.
Limitations on Osko/STC/PayID?
Each bank has their own limitations on Osko and PayID, these can been seen on the spreadsheet above.
Usually limitations include -
- A xxhour hold on first-time payments, depending on the amount.
For Commonwealth Bank users, a 24 hour hold is placed on first time payments to a new PayID that is over $200. This can be circumvented by transferring a smaller amount, then transferring a larger amount.
For Bankwest users, a 4 hour hold is placed on first time payments to a new PayID.
- Maximum amount limits
Most banks limit the amount of money made through Osko, usually $1000 a transaction with a max of $5000 a day. (exception - NAB is the only bank at the moment which allows Osko transfers up to $20,000 a day.)
- PayID types.
Commonwealth Bank, Bankwest and Westpac have opted to only allow mobile number PayIDs at the current moment.
Other Osko limitations.
Commonwealth Bank and NAB have currently only opted to allow Osko transfers via the mobile app only. NAB's online banking solution will be released by the end of this year. No news on Commonwealth Bank.
Likewise, Bankwest and ANZ have currently only oped to allow Osko transfers via the internet banking website only at the moment. Both are slowly rolling out mobile app solutions.
For Commonwealth Bank users wishing to make an Osko transfer, the transfer must be made to a PayID in order for the payment to be processed as an Osko transfer.
Can I make reoccurring/future Osko transfers?
Only three banks allow this functionality at the moment. Bendigo Bank, BankVic and Bank of us allow for future Osko transfers. These are usually sent at 6am- 7am.
Why is "____" bank not available?
Your bank has opted in to a Round 2 rollout. There is currently no date for a Round 2 release rather than late 2018/early 2019. These banks are currently speculated to be in the Round 2 rollout.
Macquarie Bank (tweets make it seem like receiving functionality available for Round 2, sending functionality later in 2019)
Bank of Queensland
Citibank (might be delayed to 2019)
HSBC (might be delayed to 2019)
Bank of Melbourne, BankSA, St. Georges
Bank of China Australia
Heritage Bank
MeBank (might be delayed to 2019)
Qudos Bank
Suncorp Bank (might be delayed to 2019)
If you guys got any more questions, feel free to ask and I'll try to answer them to the best of my ability.
Why would we direct our questions to BrianQQ?