The New Payments Platform (NPP) is new, world-leading domestic payments infrastructure that enables connected Australian financial institutions to offer their customers – consumers, businesses and government agencies – near real-time, datarich inter-bank payments 24 hours a day, 7 days a week. The platform launched to the public on 13 February 2018.
It is an open platform that is designed to support multiple overlay services which could be offered by a range of service providers from the fintech and financial services community, or from any other sector outside of the traditional payments industry. It is in this ‘layering’ of the architecture that the NPP offers opportunity for future innovation and development.
The NPP’s distributed architecture design is the result of intensive industry collaboration over several years, between the Reserve Bank of Australia (RBA) and Australian financial institutions – large and small – to design and build a secure platform for domestic payment services that meets the needs of Australia’s digital economy. It is arguably one of the most significant pieces of national payments infrastructure to be built in Australia in decades.
Fraud risk is a particular operational risk in any payment system, but is frequently cited as being a higher risk in real-time payment systems due to the velocity of payment processing, and the typically irrevocable nature of real-time payments.
This paper considers the fraud risk, and the potential impact to fraud risk, of real-time payments. Click here to download.