(4 April 2012 – New Zealand) A massive information technology project has been completed by New Zealand banks that should mean all transfers made during the day can be completed within two hours.The new settlement system cost tens of millions of dollars and was ordered by the Reserve Bank of New Zealand (RBNZ) to reduce the knock-on effects of any bank getting into financial difficulties but should have a big spin off for e-commerce.
Massey University banking lecturer David Tripe said last year that Trade Me would be the biggest obvious beneficiary, as sellers would receive payments and be able to send goods to buyers without having to wait overnight for payments to show up in their bank account. Trade Me spokesman Paul Ford said faster payments should mean quicker trades.
He also warned it would have the drawback of meaning scammers would receive money a lot quicker and find it easier to fleece victims.
Banks originally intended to turn on the new settlement system last year, but there was about a six month delay completing the project.
ASB Bank said it had been processing all payments made between 8.15am and 11.15pm within two hours since Monday and was a ‘keen participant in this new industry arrangement’.