Digital Identity
The cornerstone of the future of payments
Digital identity plays an important role in the future of payments innovation because it is the gateway to a seamless customer experience. Across the world, a range of organisations, from governments to banks, retailers, telcos and social media companies are looking to solve the challenge of securely and conveniently identifying individuals and organisations online.
The establishment of a digital identity framework will create new opportunities for digital service delivery, as well as helping to mitigate the risks of identity theft and online payment fraud. Importantly, it also has the potential to reduce the quantity of personally identifiable information (PII) that is shared online.
Data Sharing
Open banking is the term for financial institutions sharing data
Trust is the cornerstone of data sharing. It is at the centre of the many and varied data sharing arrangements in place today.
Trust is also the foundation of the Australian payments system. This system plays a crucial role in Australia’s economy and as the economy becomes more digital, it generates increasing amounts of data.
The data generated by participants in Australia’s payments system is high value data. It is used to solve problems, deliver benefits and meet obligations. For example:
- The industry shares fraud and financial crime data to ensure maximum resilience • Financial institutions share payments data with a range of private sector organisations to create new products and services
- Governments use payments data to help improve public services and regulate Australia’s financial system
Importantly, current approaches to data sharing are effective because they successfully protect consumers, maintain trust and balance the commercial interests of stakeholders. This is achieved through alignment of five core requirements:
- Consumer interests
- Privacy
- Security
- Compliance and Liability
- Commercial incentives
We believe we have a role to play aligning these requirements as data sharing is further explored.
Innovation
IAC Affiliates
COIN Membership
Operator Membership
Full Membership
Switching Banks
COIN
The COIN is next generation connectivity for Australian payments.
The Community of Interest Network (COIN) is a high availability, managed network for multilateral secure transmission of payment files between payments participants.
Designed as collaborative core infrastructure for the future of Australia’s low-value payments, the COIN provides an alternative to point-to-point connectivity between payments participants.
Currently the COIN provides network services and connectivity for our frameworks for cheques, direct entry, and domestic cards. It also provides the network for BPAY bill payments.
The COIN operates independently from our other payments framework and is open to all participants in the payments system. We provides the rules, procedures and decision-making framework enabling participation in the COIN.
Telstra provides the IP-based virtual private network for the COIN.
High Value
"High-value payments total around $122 billion every day, but only number about 38,000 transactions."
High value payments are generally made between financial institutions either for themselves or for their corporate customers including overseas banks.
Payments made through the system are mainly for the Australian dollar leg of foreign exchange transactions. High-value payments:
- are time-critical and irrevocable
- have an average value of close to $3.2 million
- total more than $122 billion every day, but only number around 38,000 transactions1
AusPayNet sets the rules and procedures for the High Value Clearing System (HVCS). The objective is to provide a best practice, efficient and highly secure electronic payments system for the Australian finance industry.
In February 2020, the RBA appointed AusPayNet as the central coordination authority in a major industry program to migrate HVCS messaging to ISO 20022. More information is available here.
112 months to end April 2021
