Faster_Payment_System

Faster Payment System

Faster Payment System

Real-time gross settlement payment system in Hong Kong

Not to be confused with Faster Payments Service, a payment system in the UK.

Faster Payment System (FPS; Chinese: 快速支付系統, more commonly known as 轉數快) is a real-time gross settlement[1] payment system in Hong Kong that connects traditional banks and electronic payment and digital wallet operators.[2] Users are able to perform instant money transfer or make payment to merchants by using the recipient's phone number, e-mail or QR code that contains the user's numeric identifier.[3][4] Using the "traditional way" of full name and account number to make interbank transfer is also allowed.[5][6]

Quick Facts Other names, Developer(s) ...

The system was implemented by the Hong Kong Monetary Authority and operated by Hong Kong Interbank Clearing Limited (HKICL). It was launched for pre-registration on 17 September 2018.[7] Transfers and payments is available since 30 September 2018.[8]

Features

Cheap transfers

Traditional interbank transfers required payment of fees between 50 HKD and 200 HKD, or a waiting time of up to two days before the payment clears. FPS provides an instant,[9] round-the-clock[10] and cheap way of transferring funds.[7] For personal banks accounts, interbank fund transfer through FPS is normally free of service charges.

Payment by QR code

Participants in the FPS share a common standard for the QR code which allows paying to merchants using a variety of payment methods like bank cards, stored value facilities or direct debit from bank accounts.[11]

HKMA has released a tool for merchants to convert QR codes from different payment providers into a single standard QR code.[12]

Currencies

FPS supports payments in Hong Kong dollars (HKD) and Chinese Yuan Renminbi (CNY).[13]

Notable participants

Incidents

October 2018

After 3 weeks of launching FPS in Hong Kong, there were several cases of fraud reported to Hong Kong Police that involved a combined loss of HKD 180,000 to customers. After the incidents were found, HKMA suspended the top up function of all e-wallets operators until the security issues were fixed.[14] A few days later, it was revealed that more than 10 suspected cases were reported and the loss was surged to HKD 400,000.[15]

See also

References

  1. [1]
    "Implementation of a Faster payment System in Hong Kong" (PDF). Hong Kong Monetary Authority.
  2. [2]
    "Why HKMA's new faster payment system is a big deal". EJ Insight. 2018-09-19. Retrieved 2018-10-13.
  3. [3]
    "Hong Kong Plans Faster Payments System - PYMNTS.com". www.pymnts.com. 8 March 2018.
  4. [4]
    "Hong Kong Monetary Authority - The Launch of Faster Payment System (FPS)". Hong Kong Monetary Authority.
  5. [5]
    "FPS - Consumers - Overview". Hong Kong Interbank Clearing Limited.
  6. [6]
    "Hong Kong's banking majors scrap it out as cashless payment system goes live". South China Morning Post. Retrieved 2018-10-13.
  7. [7]
    "Hong Kong will take a huge step towards smart banking this week". South China Morning Post. Retrieved 2018-10-13.
  8. [8]
    Yuen, Simon. "HSBC's Faster Payment System kicks off on 30 September". Marketing Interactive. Retrieved 2018-10-13.
  9. [9]
    "Faster payment system pushes HK towards cashless society". EJ Insight. 2018-10-05. Retrieved 2018-10-13.
  10. [10]
    "Transfer funds between Alipay and WeChat – but only in Hong Kong". South China Morning Post. Retrieved 2018-10-13.
  11. [11]
    "450,000 Hong Kong customers register for new QR-code-based banking platform". South China Morning Post. Retrieved 2018-10-13.
  12. [12]
    "The Launch of Faster Payment System". www.info.gov.hk. Retrieved 2018-10-13.
  13. [13]
    "Faster payment system launched in September". The Standard. Retrieved 2018-10-13.
  14. [14]
    "Hong Kong halts e-wallet auto topups after users reports of missing funds". South China Morning Post. 2018-10-26. Retrieved 2018-10-27.
  15. [15]
    "Hong Kong Monetary Authority expects to uncover more cases of fraud as e-wallet losses double to HK$400,000". SCMP. 2018-10-30. Retrieved 2019-01-14.
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