Payments Originating Overseas

Describing the details and requirements for FPSPOO (Faster Payments - Payments Originated Overseas)

Faster Payments (FPS) Payments Originated Overseas (POO) refers to an extension of the UK's Faster Payments system, which is designed to allow overseas-originating payments to be processed through the Faster Payments infrastructure. This type of payment involves sending funds to the UK, where the original transaction occurs outside the UK but the payment is processed through Faster Payments.

A Payment Originating Overseas (POO) is a payment originally drawn on an account held outside the UK and a transaction which is believed to be subject to the Money Laundering and Terrorist Financing and Transfer of Funds Regulations 2017. Within the FPS scheme, the location of the payment service provider is based on the location of the account of the Ultimate Remitter. If the Ultimate Remitter account is outside of the UK (For example the EEA or the Americas), the payment would be classified as a POO and must be treated accordingly in line with FPS principles. All FPS payments (including POO) can only be sent to an Ultimate Beneficiary account deemed within the UK.

In determining the location of an account, the following will be relevant:

• The jurisdiction where the institution providing the account is licensed;

• The physical location of the institution providing the accounts;

• The governing law of the terms of the account with its client.

Below is a flow to help determine whether you are candidates of a potential Payments Originating Oversees payments.

When defining the location of the accounts which you offer we recommend that you obtain your own legal advice. If there is a variance in either: the jurisdiction in which you are incorporated and regulated or the location of the accounts your business offers please contact your Relationship Team to discuss.

Message Format

For LHV to to correctly identify and process an FPSPOO transaction, the following criteria must be met based on the pain.001.001.09 format:

1. ID1 - Initiating Party: Non-UK Initiating Party Country:

   • Where the initiating party is not UK, Country code and BIC off the initiating party needs to be included.

   • Ultimate debtor information to be completed - BIC of initiating party and unique reference (User/Reference)

2. ID2 - Forwarding Party Field: Non-UK Forwarding Party Country.

   • Where the Forwarding party is not UK, Country code and BIC off the initiating party needs to be included.

   • Ultimate debtor information to be completed - BIC of forwarding party and unique reference (User/Reference)

3. ID3 - Ultimate Debtor Fields:

   • Ultimate remitter information:

     • Full legal name;

     • Address;

     • Country

   • Organisation Identification:

     • BIC. Must be owned by the institution which provides the account to the Ultimate remitter and must be a non-GB BIC;

     • Ultimate remitter’s account number or payment reference. Can be IBAN or in another format.

INITIATING PARTY NAME	GrpHdr.InitgPty.Nm
INITIATING PARTY COUNTRY	GrpHdr.InitgPty.PstlAdr.Ctry
INITIATING PARTY CITY	GrpHdr.InitgPty.PstlAdr.TwnNm
FORWARDING AGENT NAME (if nested)	GrpHdr.FwdgAgt.Nm
FORWARDING AGENT COUNTRY (if nested)	GrpHdr.FwdgAgt.PstlAdr.Ctry
FORWARDING AGENT CITY (if nested)	GrpHdr.FwdgAgt.PstlAdr.TwnNm
ULTIMATE DEBTOR NAME	PmtInf.UltmtDbtr.Nm
ULTIMATE DEBTOR COUNTRY	PmtInf.UltmtDbtr.PstlAdr.Ctry
ULTIMATE DEBTOR CITY	PmtInf.UltmtDbtr.PstlAdr.TwnNm
ULTIMATE DEBTOR BIC	PmtInf.UltmtDbtr.Id.OrgId.AnyBIC
ULTIMATE DEBTOR ADDRESS	PmtInf.UltmtDbtr.PstlAdr.AdrLine
ULTIMATE DEBTOR ID	PmtInf.UltmtDbtr.Id.OrgId.Othr.Id

Error Handling:

FPSPOO payments cannot be sourced from the UK or its crown dependencies so will be rejected if:

a) Ultimate Debtor BIC is a UK/GI/JE/IM/GG BIC

b) Ultimate Debtor ID is a UK/GI/JE/IM/GG IBAN