Having recently attended the latest PEXA Seminar in Melbourne, it is clear from the audiences reaction that dealing with the Banks is the cause of much angst both in PEXA and in the paper world. If the bank is not ready to settle at the designated time it is too easy for them to ignore requests for conversation resulting in settlement being held over for 1 1/2 hour increments and the remaining parties remain none the wiser as to the cause of the delay.
Wouldn't it be nice if PEXA included a requirement that the banker inserts their direct telephone number when entering the workspace and no longer would the banks be able to to hide behind their corporate cloak of invisibility that is "press 1 for...., press 2 for... (20 minutes later)"
Thanks for taking the time to post after your attendance at the Melbourne event, and I mean that sincerely. It is certainly understandable that an auto 1.5 hour rollover with no reason provided is very frustrating for the other parties and often the customers.
There are a number of changes targetting this issue:
The default rollover time has been proposed to change from one and a half hours to just half an hour. This will both reduce to impact of a missed settlement time and increase the available settlement slots.
A restructure of industry guidelines is underway and includes changes to encourage early completion of key settlement tasks in advance of the settlement date to alleviate the botteneck that is ocurring on day of settlement.
New functionality is planned that will improve visibility of who has done/is doing/should be doing what in the workspace plotted back from the settlement date - which will help to flag issues in advance of settlement and reduce the reliance on the conversation tool
New functionality available in Release 7.1 encourages the early provision of Total Funds Required to Settle and advice if authority to debit for shortfall is held, encouraging Banks and Pracititoners to make arrangements for these items in advance of settlement date.
I hope that’s helpful, please come back with any further questions.