NPP Australia’s submission to the Inquiry into Future Directions for the Consumer Data Right explains the Mandated Payments Service (MPS) currently being developed by NPP Australia and its participating financial institutions.
With the MPS, customers can authorise third parties to initiate payments from their bank accounts via the NPP – functionality often referred to as ‘write’ access under Open Banking.
As well as giving customers more visibility and control over their payment arrangements, the MPS makes it easier to move these payment arrangements between bank accounts, thereby helping to facilitate account switching
NPP Australia’s submission (available at the link below) also explains the range of direct and indirect NPP access options for the MPS, including the ability to connect directly without an ADI licence. Third parties will only need one single access point from which they will be able to initiate pre-authorised payments from any one of the 67 million (and growing) NPP enabled accounts.
The MPS builds upon the existing NPP infrastructure which supports the safe and secure exchange of data, with processes in place to ensure the ongoing protection of consumers.
To read NPP Australia’s submission to the Inquiry into Future Directions for the Consumer Data Right, click here.
To read more about the Mandated Payments Service, click here.