EAPSHC Adopted ACH Definitions
General Definition of ECH Terms
following are adopted definitions of the terms used in the ECH but were not
defined in the BIS;
a member of an Electronic Clearing House (ECH) who has been appointed as an
agent of the non participating member to the ECH.
this refers to the days during which the process of transmitting, reconciling
and in some cases confirming payment order of security transfer instructions
prior to settlement, possibly including netting of instructions and
establishment of final position for settlement when it take place.
The clearing days are counted from the day of lodging the cheque at the
bank which is referred as ‘T” and this is added to the number of days the
cheque would be processed in the clearing house ( i.e T + No. of days)
Corrupt Data Files
means, an electronic file that contains data which is either wholly or partly
unreadable, or incomplete or contains meaningless characters that cannot be
interpreted by either the ECH or the ECH member banks’ computer system thus
rendering it un-processable by either the ECH or the ECH member banks' computer
means a clearing file that contain details of missing and free items. These also
include items whose amounts in the physical items do not correspond with the
amount in equivalent item in the electronic record. Differences between
Settlement File and the Electronic Journal File, Electronic Fund Transfer and
Discrepancy File for one clearing session are also recorded in the discrepancy
means a bank or branch of the person to whom the cheque is drawn.
means, a bank or branch of the person who issues the cheque to pay the amount
mentioned therein (also referred as the paying bank or branch).
Electronic Clearing House
means a defined place where representatives of member banks meet at specified
times, to exchange instruments, electronic information and calculate the net
balances against each other.
File Means an electronic data file
containing details of cheques exchanged or presented and re-presented by banks
in the clearing house, at a clearing session.
Electronic Fund Transfers File
means a clearing file that contains electronic direct debits and credits, fines,
commissions and charges exchanged by banks in the clearing house.
means the printing or writing of information on the rear of the cheque or
voucher for various reasons, by the holder or issuer of the cheque or voucher in
the course of transferring or processing the cheque or voucher.
High Value Items
means instruments that are equivalent to or above a defined amount.
means a licensed bank, which participates in a clearing House.
means a bank that has been ordered to effect a payment instruction.
means an arrangement whereby a collecting bank sends cheque(s) direct to the
paying bank for immediate clearance.
means an electronic file that contains a summary of details for the Clearing
House of the payment transferred to each of the other banks for a particular
clearing session and currency
means a certificate issued by the Clearing House to indicate the settlement
position (balance) of each bank at a particular clearing session.
means the date when the cheque proceeds are credited on the payee’s account.