Backgrounder Interac

Interac e-Transfer® For Business Brief

Updated June 11, 2021

Please review the following brief for important information on Interac e-Transfer® for Business. Credit unions will need to determine if any changes are required to their Direct Services Agreements with their members as well as work with their current service providers for an impact assessment and plan for enablement. You can also download a PDF of the Brief here.

Background

Interac e-Transfer for Business (formerly Interac Instant) is targeting business and commercial members/customers to tackle slower, more costly payment transactions such as cheques and electronic funds transfers (EFT) with an “instant” e-Transfer utilizing the Interac e-Transfer system familiar to most Canadians.

Interac e-Transfer for Business includes increased transfer limits, the ability to route e-Transfer payments using accounts numbers rather than email/mobile, invoice/remittance data and a 5-second completed transaction requirement.

As part of the introduction of Interac e-Transfer for Business, Interac is mandating all participating Interac e-Transfer financial institutions be required to “receive” an Interac e-Transfer for Business into member/customer accounts, including retail.

At this time “sending” an Interac e-Transfer for Business transfer is not part of the mandate and is considered optional for Business accounts. Participating credit unions can decide when/if to implement the ability to “send” Interac e-Transfer for Business transactions.

As of July 8th, credit unions using the PPJV e-Transfer services will be able to “receive” increased transaction amounts of up to $25,000. Additionally, as of October 21st, PPJV will introduce both the “Send” and “Receive” functionality to credit unions using the PPJV e-Transfer solution.

Specifics

Credit unions can find the supporting documentation to share with their host banking systems and channel integrators on PPJV’s Confluence site as follows:  PPI e-Transfer CU Onboarding Toolkit < Other Guides and Templates < eTransfer Guides < Interac Commercial Service Implementation Guidance manual.

Both e-Transfer for Business “Send” and “Receive” transactions are subject to the following requirements

  • Increased Limits: Credit unions will be required to be able to receive up to $25,000 for Interac e-Transfer for Business transactions. The increased $25,000 transaction requirement is effective July 8, 2021 and is applicable for both Commercial and Retail.
    • Management of “receive” limits will happen within the Interac system, but some host banking systems may have transaction controls and limits that may need to be adjusted to reflect the increased Interac receive limit. Credit unions are encouraged to share the Interac Commercial support documentation with their host banking system to determine if any changes are required as all accounts (retail, small business and commercial) must be enabled to “receive” increased transaction limits.
    • Sending limits will remain at the discretion of the “sending” credit union and can be implemented up to $25,000 based on member needs. PPJV will work with participating credit unions to establish new Online Administration System (OAS) group limit parameters for “send” transactions
  • Real-Time Confirmation: Sending credit unions will receive a confirmation of payment receipt within 5-seconds from the recipient financial institution. For “receiving” credit unions this means that once they receive an e-Transfer payment request from Interac, their systems have 2-seconds to respond success/failure to Interac who in turn passes the confirmation back to the “sending” financial institution.
  • Both Sending & Receiving credit unions will need to work with their service providers (bank host providers, integrators etc.) to determine required systems enhancements. Credit unions are encouraged to share the Interac Commercial support documentation with their host banking system and channel integrators to determine if any changes are required.
  • Remittance Data: Sending credit unions will have the ability to include “rich” remittance data such as invoice or payment details in both ISO structured formats and unstructured (notes) fields. Storing and presentment of remittance data may have both host-banking impacts as well as presentment within supported digital channels
    • Both Sending & Receiving credit unions will need to work with their service providers (bank host providers, integrators etc.) to make any required systems enhancements to include remittance data, store transaction history and remittance details. Credit unions are encouraged to share the Interac Commercial support documentation with their host banking system and channel integrators to assist with the review of required enhancements.
  • Account Number Routing: All credit unions must be able to process an e-Transfer routed by account number in addition to current mobile and email alias routing and be able to validate the sending/receiving account is in good standing. Credit unions will be required to provide their account availability formats to Interac and update the registry twice monthly.
    • Credit unions will need to work with their service providers (bank host providers, integrators etc.) to make any required system enhancements to route account number e-Transfers. At a minimum, all accounts eligible for a Payments Canada AFT transaction should be enabled. Credit unions are encouraged to share the Interac Commercial support documentation with their host banking system and channel integrators to determine if any changes are required.

Through the planning and onboarding process, PPJV will ensure the required technical specifications are available to participating credit unions, bank host providers and channel integrators to support the changes that are required to support Interac e-Transfer for Business. As credit unions continue to onboard, the latest e-Transfer for Business functionality will be made available to you.

PPJV is diligently working with Interac, CUCC and IBM to ensure readiness to support e-Transfer for Business. PPJV will be participating in industry testing at the end of July 2021 with individual credit unions enablement to follow.

Credit unions should review their Direct Services Agreements that are in place with their members to ensure any updates are completed prior to enablement of this functionality.

Credit unions that have not yet transitioned to PPJV for e-Transfers, should contact their current service provider for an update and confirm enablement of the “receive” functionality.

Please contact the PPJV Credit Union Engagement Team at engagement@ppijv.com for any questions.

Interac e-Transfer is a registered Trade-mark of Interac Corp. Used under license. PPJV Confidential document.