BACH/Clearing: BACPS/BEFTN/RTGS/EFT/NPSB
Bangladesh Automated Clearing House (BACH) works under the Payment Systems Department (PSD) of Bangladesh Bank. BACH is a payment and settlement platform where Participating Banks daily settles there payment instruments and transactions. Bangladesh Automated Clearing House (BACH) has two parts - Bangladesh Automated Cheque Processing Systems (BACPS), and Bangladesh Electronic Funds Transfer Network (BEFTN).
The Bangladesh Automated Cheque Processing Systems (BACPS) launched in October 2010. Through BACPS, the Participating Banks daily clear/settle there instruments e.g. cheque, pay order, dividend, refund warrants, etc. For settlement or clearing purpose, Cheque Imaging and Truncation (CIT) technology is used. Based on cheque image, inter-bank cheque payment is sattled among the Participating Banks. BACPS has two parts/Clearing Session: (1) High Value (HV) where Cheque amounting Tk. 5.00 Lac or above performed; they are early settle than Regular Vale Cheque and (2) Regular Value (RV) Cheque Clearing where below amounting Tk. 5.00 Lac performed. However, in Regular Value (RV) Clearing Session, Cheque of any amount can perform/presented.
The Bangladesh Electronic Funds Transfer Network (BEFTN) started functioning from February 2011. It is the first electronic inter-bank funds transfer system in Bangladesh. It is the system to transfer fund from one bank account to another bank account. BEFTN facilitates both credit and debit transactions among banks. EFT service is free of cost among the banks. The transactions settled twice in a day. EFT service handles a wide variety of credit transfers such as payroll, fee payment, foreign and domestic remittances, government tax payments, social security, company dividends, expense reimbursement, bill payments, corporate payments, stipend payment, social security payments, person to person payments, and more.
Bangladesh Electronic Funds Transfer Network (BEFTN) Version 2.0 launched under the PSD Circular No. 08/2020 dated 28 October 2020. The BACH system upgraded to BACH-II system where besides BD TK, five foreign currencies came into live for transaction these currencies are - US Dollar (USD), British Pound (GB), Euro, Japanese Yen, and Canadian Dollar.
National Payment Switch Bangladesh (NPSB) started its operation from 2012 where instantly fund transfer from one bank account/card to another bank account/card settled. The transaction settled in the NPSB immediately. Through NPSB, the participating banks uses there Automated Teller Machines (ATM) and Point of Sales (POS) to meet up customers transactions.
Real Time Gross Settlement System (RTGS) was introduced in October 2015. It needs minimum TK 1 lac to perform the transaction. There have no maximum amount to perform the RTGS transaction. And settlement of transactions happened within Real Time, instantly. In addition to BD TK, there are five other currencies are used in the RTGS they are - US Dollar (USD), British Pound (GB), EURO (EUR), Japanese Yen (JPY), and Canadian Dollar (CAD).
Published Date: 14/06/2023