Settlement Models

Just-In-Time (JIT) Pre-Funding for Money Transfer Operators

What are Just-In-Time (JIT) Pre-Funding for Money Transfer Operators. Just-in-time (JIT) pre-funding for money transfer operators refers to a financing model in which a MSB receives funding precisely when it is required to execute a transaction, rather than receiving a bulk sum upfront.

Just in Time Prefunding

What is Just in Time Prefunding. Just in Time Prefunding is a financial strategy in which funds are allocated precisely when they are needed, rather than preloading accounts with large balances for anticipated transactions.

Good Funds Settled Model

What is the Good Funds Settled Model. The good funds settled model is a financial and operational framework used in payments and banking where transactions are considered complete only after funds are fully received, cleared and confirmed as final.

SWIFT GPI (Global Payments Innovation)

Explore the transformative power of SWIFT GPI in the global banking and financial services sector. Learn how it revolutionizes cross-border payments with speed, transparency, and efficiency. Discover its impact on trade, compliance, and more for a comprehensive insight into this pivotal innovation.

IMAD Number

What is an IMAD Number. An IMAD number is a unique reference number assigned to a wire transfer sent through the Fedwire system in the United States. It helps identify, track and reconcile individual payment messages as they move between banks.

Herstatt Risk (HR)

What is Herstatt Risk. Herstatt risk refers to a specific type of settlement risk that arises in foreign exchange transactions due to time zone differences between counter parties.

Continuous Linked Settlement (CLS)

What is Continuous Linked Settlement. Continuous linked settlement (CLS) is a global financial market infrastructure designed to reduce settlement risk in the foreign exchange market.

BEN (Beneficiary Pays All Charges)

What is Beneficiary Pays All Charges. Receiver pays all charges is a payment instruction used in international banking where the recipient of a transfer bears all transaction-related fees. These charges may include fees from the sending bank, intermediary institutions and the beneficiary’s own bank