Payment reversals

There are two circumstances in which a payment reversal may be required:
Subject to the dispute window specified in the Nexus Scheme Rulebook (to be defined in the next phase of this work) a Source PSP may request the return of a previously completed Nexus payment. This request may be made if the original payment turns out to have been made in error, duplicated or fraudulent (for example).
A payment reversal may also be needed when the Destination PSP originally responded with the status ACWP (Accepted Without Posting) but is unable to resolve the payment within the time defined in the Nexus SLA. (In this case, Steps 1-2 are redundant and will be skipped.)
The process for reversals is as follows:
Step 1: Source PSP sends the cancellation request
The Source PSP must submit a camt.056 FItoFIPaymentCancellationRequest to the Source IPS referencing the original pacs.008 payment instruction.
The camt.056 will include the reason for the cancellation in the /Document/FIToFIPmtCxlReq/TxInf/CxlRsnInf/Rsn/Cd element, using the ExternalCancellationReason1Code from the ISO 20022 External Code Set. Possible values are:
camt.056 CANCELLATION 
REASON CODE
CODE MEANING
AM09
WrongAmount
CUST
RequestedByCustomer
DUPL
DuplicatePayment
FRAD
FraudulentOrigin
TECH
TechnicalProblem
Other ExternalCancellationReason1Codes may also be used, but PSPs should ensure they are familiar with at least the set above.
This camt.056 will be forwarded by the Source IPS to the Nexus Gateway, and in turn to the Destination PSP.
Full camt.056 message specs are available at [LINK TO FOLLOW].
Step 2: Destination PSP responds to the request
Within the time allowance defined in the Nexus Scheme Rulebook, the Destination PSP must reply with a camt.029 ResolutionOfInvestigation message with the following status:
If the Destination PSP is willing to return the payment:
The status element (/Document/RsltnOfInvstgtn/Sts/Conf/ ) element should be set to a ExternalInvestigationExecutionConfirmation1Code from the ISO 20022 External Code Set, such as:
CNCL – confirming the payment has been cancelled and the funds will be returned as requested
If the Destination PSP is not willing to return the payment:
The status element (/Document/RsltnOfInvstgtn/Sts/Conf/ ) element should be set to a ExternalInvestigationExecutionConfirmation1Code, such as:
RJCR – the cancellation request has been rejected
The reason code for the rejection (/Document/RsltnOfInvstgtn/CxlDtls/TxInfAndSts/CxlStsRsnInf/Rsn/Cd/) element should be set to an ExternalPaymentCancellationRejection1Code from the ISO 20022 External Code Set. Examples include:
CUST (CustomerDecision to refuse the return)
NOAS (NoAnswerFromCustomer)
Full camt.029 message specs are available at [LINK TO FOLLOW].
Step 3: Processing the return payment
The Destination PSP must now submit a pacs.004 PaymentReturn message to the Destination IPS. This will be processed in a similar way to the pacs.008, but in reverse, so that the funds are returned to the Source PSP and will be re-credited to the Sender.
Note that reversals are processed at the same FX rate used in the original pacs.008 payment instruction.
Full pacs.004 message specs are available at [LINK TO FOLLOW].

Last modified 2mo ago

camt.056 CANCELLATION REASON CODE	CODE MEANING
AM09	WrongAmount
CUST	RequestedByCustomer
DUPL	DuplicatePayment
FRAD	FraudulentOrigin
TECH	TechnicalProblem