Status of SEPA Migration Austria Czech Banking Association 21 September 2010

Status of SEPA Migration Austria

Czech Banking Association

21 September 2010

2

Founded in 2005

Members

10 of Austria´s largest banks

Austrian National Bank (OeNB)

Austrian Banker´s Association

Chamber of Commerce

Secretariat: STUZZA GmbH

Main Purpose

Coordination of implementation strategies concerning SEPA in Austria

APC is the hub of the decision making process related to administrative and technical issues of SEPA („national community“)

Austrian Payments Council (APC) / 1

21 September 2010

Czech Banking Association

Austrian Payments Council (APC) / 2

3

Issues of the APC

External representation of the Austrian

banking community

EPC

EU

ECB

Nationalauthorities and Stake-holder

A

P

C

Specification of necessary

administrative and technical

changes in processing payment

transactions

Monitoring and support of

implementationboard level information

21 September 2010

Czech Banking Association

Legal + ‚Infrastructure‘

PSD transposition Law is effective since 1 November 2009 („Zahlungsdienstegesetz“ - ZaDiG)

BIC / IBANon all account statements - since 2002on all bank cards: started 2008 to be completed 2010Conversion Service for PAs and corporates:

offered since 2008more than 8 Mio. accounts converted so far

CID-Serviceoffered since June 2009

about 430 CIDs assigned up to now21 September 2010

Czech Banking Association 4

SEPA Adherence

All banks offering national direct debits are reachable for SDD Core (Regulation 924/2009 ).

5

Sept. 2010

SCT 725

SDD Core 710

SDD B2B 620

SDD Fixed Amt. -

21 September 2010

Czech Banking Association

SCT Migration / 1

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1st HY 2010: 37% of SCT transactions domestic (federal government started SCT mass payments in June 2009)

1st HY 2010 : 5,5% of Austrian credit transfers are SCT

21 September 2010

Czech Banking Association

SCT Migration / 2

about 4% of all credit transfers are x-border.

about 80% of x-border CTs qualify for SCT

increase of SCT from 19% in 2008 to over 60% in 2010

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Czech Banking Association

SCT - Situation in the Market

Corporatesstill waiting for ‚full XML-package‘ (SCT + SDD + account statements)slow migration without end-date (one end-date for SCT and SDD preferred)

Public Authoritiesdomestic mass payments in use since June 2009federal government:

67% of outgoing payments will be migrated by July 2010100% of outgoing payments planned for 2011

regional entities following slowly (benefitting from experience)

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Czech Banking Association

SDD Migration

~ 6 million SDD transaction Jan. – Jun. 2010; approx. 3% of direct debit transactions

Vast majority SDD Core

All banks process substantial numbers of SDD transactions – ready for mass production

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Czech Banking Association

SDD – Situation in the Market

Corporateslarge creditors (insurances, utilities, telecom) are interested

some have started to use SDD for x-border transactions

one building society has completely migrated to SDD (~ 13 Mio. transactions p.a.)

Public AuthoritiesAustrian PA-entities do not use direct debit

Consumerslittle awareness of SDD because migration work is driven by banks and creditors

no exchange of mandatescreditors use BIC/IBAN servicedebtors are informed by creditors but have no active role.

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Czech Banking Association

SDD - Open Issue

Migration of domestic direct debit no refund scheme (“Lastschrift“) to SDD

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Debtor Migration

Corporate will be migrated to SDD B2B

Consumer If ‘no refund’ no longer required:will be migrated to SDD Core

If ‘no refund’ also required in future: migrate to SDD Core no refund(as per PSD - not available yet)

21 September 2010

Czech Banking Association

Status SEPA Cards

Migration to EMV standard (chip)

12

StatusCards (debit and credit)

100%

ATM 100%

POS 60%(to be completed in 2011)

21 September 2010

Czech Banking Association

e-Payments

Austrian e-payment scheme “eps online payment” will be SEPA compliant by the end of 2010 (BIC/IBAN + SCT)

Austria liaises with other European e-payment schemes (DE, NL) to reach interoperability

e-payment framework will provide ‘missing link’ between existing schemes.

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Czech Banking Association

Information - Communication

National Stakeholder Forum (2x/year; next meeting in May 2010)

media (press, TV etc.) work concentrated on PSD transposition rather than SEPA migration

APC provides information (presentations, discussions, training) to corporates and IT-providers regurlarly

Consumers in Austriamigration of cards (debit and credit): completed

access to BIC/IBAN: completed by end 2010

migration to SCT: driven by PA’s and Corporates

migration to SDD: driven by Creditors1421 September

2010Czech Banking Association

Stiftgasse 15-17A-1070 Wien

Phone: +43/1/505 32 80-0Fax: +43/1/505 32 80-77

E-Mail: [email protected]

Thank you for your attention

Alexander Schilling