The Rapid Payments Programme (RPP) supports two means of identifying the beneficiary account for a payment: 1. Pay-by-account 2. Pay-by-proxy
Pay-by-account requires that the sender provides the beneficiary's account number and the receiving bank's identifier when initiating the payment.
Pay-by-proxy allows for the use of a proxy to identify the beneficiary's account. A proxy consists of two parts: 1. An easily-remembered primary identifier that is linked to the beneficiary's account number. 2. An optional domain that identifies the institution, or a specific account type at that institution.
RPP supports the use of a customer's mobile phone number as the primary identifier. If a customer has multiple accounts held at one or more financial institutions, then these can be differentiated by means of the domain. Examples of valid proxies are:
A proxy may be assigned to a 'default' account. This allows the scheme to determine where to land funds in the case that the customer has multiple accounts linked to their mobile number, but the sender does not provide a domain when making a payment.
Electrum provides a proxy management service for the RPP scheme. Proxy identifiers are held alongside account holder data in your account mirror so that incoming proxy requests can be resolved. For outgoing requests, Electrum manages the proxy resolution with the corresponding scheme participant. This allows electrum to perform the following functions on your behalf.
When Electrum receives an inbound payment to one of your account holders, it will match the proxy to its corresponding account details. The account details are verified to confirm that the beneficiary may receive the funds. The credit transfer request is then forwarded to you, having been enriched with the account details of the beneficiary. This means that you will never have to service any incoming proxy requests yourself.
When you initiate an outbound credit transfer, Electrum will resolve the beneficiary account holder's name from the given proxy. This involves communicating out to the scheme and requesting this information. The account holder name will be returned to you, which you must present to the sender for confirmation.