BPAY – Australian invention as popular as the Hills Hoist

BPAY was introduced on November 18, 1997. It is a single bill payment service adopted across the banking sector. Today, BPAY remains unique on the world stage as a distinctively Australian invention. It is offered by member financial institutions (banks, building societies and credit unions) as a core feature of their Internet and phone banking platforms.

In 10 years, BPAY has become the most popular bill payment service in Australia, with its characteristically bold 'B' logo, which symbolizes ease, convenience and security.

Now, 180 Australian financial institutions, ranging from banks to credit unions and covering about 90 per cent of the consumer banking market, belong to the scheme. The scheme has also broadened consumer access to BPAY with a new membership category called a Payer Institution Member which is any Australian Institution that manages a store of value for customers, sponsored by a BPAY member that is an Authorized Deposit-taking institution under the Banking Act.

More than 15,000 biller codes covering companies, utilities and government departments now accept payment via BPAY, including Australia’s top billers. Each month, 18 million bills worth $11 billion are paid using BPAY, and more than 77 per cent of these are paid over the internet.

BPAY started as an innovative and secure phone bill-paying scheme, and this cutting-edge approach to using technology has continued. It soon offered electronic bill payment via the Internet, then it introduced BPAY View to enhance the BPAY offer in January 2002.

BPAY View allows consumers to receive bills electronically, which they can then pay using BPAY. The service was designed to reduce costs for billers and to streamline bill collection services, while improving relationships with customers.

BPAY Pty Ltd is a wholly owned subsidiary of Cardlink Services Limited (CSL) which is owned by the four major banks, StGeorge and BankWest.

The Directors of BPAY Pty Ltd are appointed by these banks to supervise BPAY affairs.

The general manager of BPAY Pty Ltd is Andrew Arnott. He was appointed general manager in mid-2002, taking over from founding GM Linda Hemstrom.

BPAY payments process

Once you have registered for Internet or Phone Banking with your financial institution, you can pay a wide range of bills with just one phone call or Internet banking session, at your own convenience, seven days a week, day or night.
You can make a BPAY payment from any touch phone or via a personal computer connected to the Internet, and have the option of paying from a check, savings or credit card account. (Please note, not all billing companies will accept payment via credit card.)

BPAY gives you total control over when you make your payments within the secure environment of your bank or financial institution.

1. The Customer (‘Payer’):

• Calls their phone banking or logs on to their Internet banking service of their nominated financial institution (‘Payer Institution’);
• Selects the BPAY feature Instructs the Payer Institution to pay a bill by entering the BPAY biller code, customer reference number and dollar amount;
• Nominates the account from which they wish to pay;
2. The Payer Institution:
• Debits the Payer’s account with the amount of the bill(s) to be paid
• Collates the information concerning the bills paid and the amount paid
• Transmits a ‘payer details file’ to BPAY for processing every banking business day
3. BPAY:
• At the end of the banking business day, processes all ‘payer details files’;
• Provides a settlement report to BPAY financial institutions;
• Executes settlement through existing settlement procedures (direct entry) to reconcile amounts owing between BPAY financial institutions;
• Creates and delivers to Biller Institutions their ‘biller details file’;
4. The Biller Institution:
• Each Biller Institution provides customized data to its billers so that they can update their accounts receivable systems.

BPAY payments are all made within the secure environment of your financial institution’s Internet banking site or phone banking system. The only parties who are authorized to have access to information about BPAY payments are the participating billers and financial institutions. Additionally, BPAY does not receive any identifying personal or individual account details at any point during the payment process.
As BPAY is part of Internet banking, consumers are also protected by the Electronic Funds Transfer Code of Conduct (EFT Code). Thousands of Australians pay their bills with BPAY every day using the Internet and phone banking services of over 170 financial institutions, building societies and credit unions.
BPAY Benefits
Business:
• Cleared funds overnight
• Payment information file allows for easy reconciliation
• Improved customer relations by providing choice to consumers
Consumer:
• 24/7 access from anywhere in the world
• No more standing in queues, or writing and mailing cheques
• Security of an online banking environment
• Control over when payments are made
• A choice of how to pay
• A stamped time receipt on every payment

BPAY View

BPAY View is a way for you to receive and view your bills through the secure environment of your financial institution’s Internet banking website.
Once registered for BPAY View through your Internet banking site, you are able to view, pay and track payments at any time via one log in for your summary bill, making the management of your bills easy.
BPAY View allows you to log on from any secure environment to check for bills, schedule a payment, or pay them immediately through BPAY.

BPAY View gives you the convenience of having your bills sent to the secure environment of your financial institution’s Internet banking site where you are able to pay them immediately or schedule a payment.
• It means never losing a bill again.
• You can view and pay your bills when it suits you, day or night.
• It gives you the ability to still pay your bill through any payment method the biller offers – BPAY is one easy option.
• You can save, store and file your bills electronically - reducing the piles of paper in your home.
• You are still able to print out a copy of your paper bill for those times when you need it.
• By saving on paper, BPAY View is environmentally friendly.
You can choose which bills you want to receive via BPAY View and if you decide that you wish to return to receiving paper bills it is a simple click to turn BPAY View off.

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