Detailed Flow in Destination Country (Receiving)
Last updated
Last updated
The Destination Country processing flow is shown below:
The Destination Country payment process follows the following steps:
1
The Destination Nexus Gateway sends the Nexus pacs.008 to the Destination IPS.
The Destination IPS may need to convert this message into its local format before forwarding this to the Destination SAP.
No reservations need to be made at this stage.
2
The Destination IPS sends the payment instruction to the Destination SAP
The IPS is free to decide on the format of the payment message for the interaction towards the D-SAP and the D-PSP.
If ISO 20022 is not used domestically, the IPS will need to translate from the Nexus pacs.008 to the domestic payment instruction format.
3
The Destination SAP confirms that the FX Provider has sufficient funds with them, and applies sanctions screening and compliance checks if required.
If the Destination SAP is happy to proceed with the payment, it will debit the FXP’s account with them by the amount of the payment. If the Destination SAP is not able to validate the payment, the Destination SAP can reject the transaction.
The D-SAP either submits the payment instruction message to the Destination IPS, effectively giving the IPS the instruction to make payment to the Destination PSP or rejects the transaction.
4
5
The Destination IPS forwards the payment message to the Destination PSP for validation.
6
The Destination PSP will apply sanctions screening and compliance checks before deciding whether to accept the payment.
If the Destination PSP is happy to accept the payment they will then return a payment status message accepting the payment instruction.
7
8
5-step settlement only In case of a confirmation and successful settlement, the D-IPS will confirm settlement to the Destination PSP.
9
In case of a confirmation and successful settlement, the D-IPS will confirm settlement to the Destination SAP.
10
The Destination PSP credits the Creditor Account. The D-PSP should inform the Creditor of the arrival of funds, according to the local scheme requirements.
11
In case of a confirmation and successful settlement, the D-IPS will confirm settlement to the Destination Nexus Gateway.
The Destination IPS, upon receiving the validated instruction from the Destination SAP, either settles the transaction () or ensures settlement (by reserving the pre-funded balance of the Destination PSP or otherwise in a 5-step settlement process).
See also
only Upon confirmation of the Destination PSP, the D-IPS will settle the transaction.
The Destination IPS must use the Nexus pacs.002 payment status report format to confirm the transaction to the Nexus Gateway. See for details on the format.
