UK's FPS ups transaction volume

UK’s FPS ups transaction volume

Volumes flowing through the UKs Faster Payments Service (FPS) transaction processing system launched on 27 May are picking up significantly, reveals data from payment industry body APACS.

Volumes flowing through the UK’s Faster
Payments Service (FPS) transaction processing system launched on 27
May are picking up significantly, reveals data from payment
industry body APACS. From a total of just over 4 million
transactions processed in June, volume increased to 15 million in
August with a peak of 1.423 million transactions recorded on 1
September.

According to APACS, 63.5 percent of all
internet and phone payments are now being processed through the
FPS. Notably, the average value for these payments now stands at
£786 ($1,440) per payment, more than double the £303 average in
2007 when a total of 124.5 million phone and internet payments were
recorded.

In addition to phone and internet payments
standing order payments became available via the FPS on 6 June. In
2007, 347.3 million standing order payments averaging £321 each
were processed.

“The first three months of Faster Payments have
gone extremely well,” said David McFarlane, a Clearing House
Automated Payment System Company manager.

“We are now expecting banks and building
societies to start to press on with the rollout so that more
customers can start to enjoy the benefits of this new system and
for more of their payments.”

The FPS, which was established by 12 banks and
one building society, requires members to approve payments within a
matter of seconds of receiving requests for funds, and guarantees
that payments will be transferred to a recipient’s account within
two hours.

Maximum phone and internet payments via the FPS
are set at £10,000 and maximum standing order payments at £100,000.
However, some FPS member institutions have imposed lower limits
during the phasing-in period.