• Highlights of bank news since the last newsletter; Unicredit Group has gone live with Germany and four Eastern European countries using the camt.086 format, Barclays is rolling out a new strategic platform that expands its global coverage, BNP is now live with 15 countries with more in progress, Citi continues to rollout the BSB and many other banks continue to expand their coverage. 12 major banks are live with the BSB, including two global banks who wish to be un-identified. Three additional banks, are in the planning phase; a German, a Nordic and a US bank; they also wish to be un-identified at this time. Furthermore banks have seen an increased demand for the BSB from corporate customers. See News from the Banks for more details.
• Vendors offer products to help corporates to process and analyze BSBs and for banks to produce account billings and the BSB. There are two additional vendors this year; one for banks Zafin Labs and one for corporates Treasury Intelligence Solutions (TIS). Read about all their offerings in News from the Vendors.
• Lufthansa and Siemens shares their experiences with us in News from the Corporates.
• The original TWIST BSB version 3.1 has been revised and is issued as the ISO 20022 camt.086 message. Read what Bob Blair says about the new message. Also read about additional Information and Links to camt.086 documentation.
• The Global Service Codes have been in use for about a year. Read from Bridget Meyers why these codes are important for Account Analysis and about a service the AFP offers to help banks implement the codes.
• The banks and vendors were asked about implementing the ISO 20022 camt.086 and Global Service Codes standards in a survey. Read a synopsis of their responses, ISO 20022 and GSC Survey.
• Steve Weiland, Robert Blair and I presented a session at the AFP Miami; “The ISO BSB Electronic Billing Statement: Status, Acceptance, AFP Code Usage”. To download the presentation, go to http://twiststandards.org/news/iso-bsb-electronic-billing-statement/, and click on the Icon in the Gray Box.

For more information read below.

Features

Updates to Bank Services Billing Standard and Publication under ISO20022

Bob Blair of the ISO 20022 RMG and Payment SEG reports: reports:

TWIST BSB was published in 2006 to address the global treasurer’s requirements for a standard, digital format for bank bills. Published by the TWIST standards group, the standards have been:

• Embedded in a number of bank and corporate billing applications
• Deployed by a number of banks globally
• Used by a number of corporate globally

Some years of use have identified a few new requirements a few errors to be corrected. So a version 2 was warranted. “How to address?” was the question.

ISO20022 is a family of international financial services messaging standards. It addresses payment initiation (including CGI), account reporting, various administrative messaging including Exceptions and Investigation (E and I), electronic bank account management (eBAM) and others. With such a subject coverage, it is a likely place to find an electronic billing standard.

The banks proposed to SWIFT and TWIST that BSB be updated and published under ISO. And SWIFT and TWIST agreed to be the submitting partners! The ISO20022 process was followed to publish an ISO20022 standard:

• A Business Justification was drafted presented and accepted.
• A team was formed to draft the new message. SWIFT drafted a new version of the schema.
• Team members contributed optional documented helpful to implementer including;
• A message usage guide
• A sample file
• A cross reference guide between version 1 and version 2 of the standard

The ISO20022 BSB schema and message definition report is now available free of charge at the ISO20022.org websit
e. The additional documentation (sample file, cross reference guide and message usage guide) are in the final stages of development and will be published shortly.

Additional Information on camt.086

Special thanks for the creation of the camt.086 BSB:

The project to publish the BSB under ISO 20022 was initiated by Bob Bair of the ISO 20022 Registration Management Group (RMG) who created the Business Justification, with an assist from Tom Buschman and Paul Burstein of TWIST, and managed the acceptance process by the RMG. The camt.086 message was developed by SWIFT (Dave Dobbing and Vincent Kuntz) and TWIST (Steve Weiland and Paul Burstein). A special ISO 20022 Payment SEG Evaluation Committee, led by Susan Colles and composed of billing specialist from 12 banks, 4 software vendors, TWIST and SWIFT reviewed and enhanced the camt.086 message. SWIFT prepared the published specifications and Steve Weiland created the Message User Guide (MUG).

Documentation:

The ISO 20022 BSB introduction page: www.iso20022.org/display_news.page?dataitem=en//20120716_bsb_publication.

The Message ID / XML Schema (camt.086.001.01) and the Message Definition Report (MDR): www.iso20022.org/payments_messages.page#payments_catalogue_bsb.

A Message Usage Guide (MUG) is being review by the Payment SEG and should be published shortly. It is the functional equivalent of the TWIST ‘Global Electronic Bank Services Billing Standard (BSB) – Requirements Document’. It will describes ‘the data content requirements of the Bank Services Billing (BSB) standard as defined by ISO2002’ and will include a sample camt.086 message and a data mapping between the TWIST BSB v3.1, ANSI 822 and camt.086 message. (Notification will be sent out when it is published by ISO 20022.)

Global Service Codes

Bridget Meyers of the AFP reports:

The Association for Financial Professionals (AFP) published the first-ever set of standardized service codes for global bank billing in November 2011. The new AFP Global Service Codes ™ were designed specifically to be used with the BSB and are an excellent tool for banks and global corporations alike.

Standardized codes give corporations the opportunity to generate reports and track volumes/prices electronically – something that is virtually impossible to do with a textual description. With the help of a software, or just some extra time in Excel, analysts can report on their wire costs, online banking costs, or customer service costs across the globe. If statements are generated in the local language, the code provides a way for analysts based all over the world to speak a common tongue.

Global banks that maintain different billing platforms in different regions of the world can use the service codes to help coordinate pricing efforts and provide greater reporting of product revenues internally. While the codes were designed primarily to be corporate-facing, some banks have found a way to use them for interbank billing between their correspondent relationships. The exercise of assigning a standardized code to each line item in a bank’s billing system may prove to be frustrating, but the result is a “clean house” where inactive service codes are eliminated and duplicates are merged.

Banks who participated in the panel that created the codes received a complimentary license from the AFP and most are actively assigning them to their internal service ids. One of the world’s largest banks has just completed the process to become the first-ever AFP Global Service Code Accredited Provider (press release coming shortly). This program, offered by AFP, is effectively an outsourcing of code assignment and management, eliminating the need for internal resources to perform this tedious task. For banks performing the mapping of the service codes themselves, at least some form of external review is recommended to ensure compliance with the rules. The statements I have seen that already have the AFP Global Codes displayed contain mapping errors. It is extremely important that the initial mapping be done correctly. Unfortunately, once a service is mapped, it is forgotten. If errors are not caught quickly, the integrity of the codes may be lost.

Software providers, including SunTec and Open Solutions, are actively involved in BSB development and AFP Global Code usage on both the banking and corporate side. Corporate treasurers with multiple bank relationships can upload the standard BSB statement through a vendor-provided software to help them consolidate the information, check for errors in volumes or negotiated prices, and generate reports that can help them make appropriate cash management decisions. If your bank is not currently offering or developing the BSB statement with AFP Global Service Codes, it is behind. Let us work together to move forward toward a standardized billing environment that benefits us all.

ISO 20022 and GSC Survey

Paul Burstein reports:

Implementation of camt.086 Message and Global Service Codes

Now that camt.086 BSB message has been released by ISO 20022 and the Global Service Codes for the BSB has been released by the AFP, we are often asked three questions. 1) When will the camt.086 message be available from the banks, 2) How long will the banks support the TWIST version 3.1 and 3) are the banks implementing the Global Service Codes. To answer those questions surveys were sent; 1) to the banks that are supporting, producing and/or planning to product BSBs and the 2) to the vendors doing the same. Below are the aggregate results of the survey.

Banks

• 13 banks responded
• 10 who are live with the 3.1 version only
• 1 who is live with the camt.086 only
• 2 who are planning to produce the BSB in the future in the camt.086 version
• Banks with the version 3.1 are planning to produce the camt.086
• 4 are planning for 2013
• 3 are planning for 2014
• 1 is waiting for the MUG, Message User Guide that is being reviewed for publication
• 2 are in the evaluation / planning stage without any target date
• The bank plans for sun-setting the TWIST version 3.1 varies
• 4 banks wish to sunset the 3.1 rather quickly after the create their camt.086
• 6 banks will sunset when there is either no client demand for 3.1 or at least 2 years from now
• Plans for implementing the Global Service Codes vary
• 2 banks are live with the GSC for their 3.1 version
• 2 additional banks are implementing or planning to implement for the 3.1 version
• 7 banks are implementing with the camt.086
• 1 bank has already implemented with the camt.086
• 5 banks have no plans to implement with the camt.086

Vendors

• 3 Corporate vendors and 3 banks vendors responded
• All can or will handle the camt.086
• 2 corporate vendors can handle the camt.086 now, the other in 2013
• The 3 banks vendors will implement by:
1. 4 qtr 2012
2. early 2013
3. 3 qtr 2013
• All vendors will be able to support version 3.1 indefinitely
• All vendors can handle the GSC with version 3.1 and will do it with the camt.086

Banks will be migrating to the camt.086 over the next few years. Many banks are dependent on their software vendors. The corporate software providers will be able to support the ISO 20022 camt.086 and the TWIST BSB version 3.1 during this transition period. That migration period, depending on bank, can be anywhere from 9 months to open ended. While some banks will provide the Global Service Codes with version 3.1, the majority will implement with the camt.086.

News from the Banks

Bank of America’s strategic direction is to support the recently approved ISO 20022 camt.086 message, with a view to implementing the new standard and the global AFP codes in the near future.”

For further information please contact:  Rebecca Watson at Rebecca.watson@baml.com.

“As Barclays continues to make strategic investments in our future billing platform we consider E- Billing / Bank Services Billing in its various forms as a key value driver of our client proposition.

We are building out our strategic billing platform to support TWIST BSB & ISO standards as well as enhance them with the use of the AFP global service codes. We will continue the roll out of this platform through the end of 2012 and much of 2013. As additional bank services and geographies come online we will be able to offer TWIST BSB version 3.1 (enhanced by the AFP global service codes) and the ISO 20022 camt.086 to our clients for their billing.”

For additional information contact your Barclays Corporate Relationship Director.

BNP Paribas says “The service is available on the majority of our establishments in Europe and in some countries of other regions (15 countries live, 8 additional in progress), with new clients on boarded this year. For other countries, we are ready to investigate the conditions and agenda of BSB reporting implementations. We have also been part of the BSB Evaluation workgroup in order to develop the camt.086 schema.”

The contact person is the Corporate BNP Paribas Relationship Manager.

“Citi currently provides TWIST BSB-formatted reporting to clients for its locations in the USA, Canada, Western Europe, Asia and for majority of the countries in the CEEMEA (Central and Eastern Europe, Middle East and Africa) region. We expect to begin testing of TWIST BSB reporting in LATAM region with pilot clients in the First Quarter of 2013.”

For more information, please contact your Citibank Global Transaction Services client manager or Padma Santhanam at padma.santhanam@citi.com

“Danske Bank, went live with the TWIST BSB in 2007 and is now live with 15 international corporate customers and more in the pipeline.

We are providing fee information on accounts in 9 countries – Denmark, Sweden, Norway, Finland, Poland, Germany, UK, Ireland and Northern Ireland – all countries in the same file, including a country specification.

Danske Bank transmit the TWIST BSB XML file on a monthly basis and can add new customers with only 5 banking days of notice. Danske Bank send the files STP through all our electronic channels e.g. SWIFT for Corporates, direct communication lines e.g. FTP, Electronic Banking etc.

At the moment we are working on collecting additional data such as interest, account balances etc., to be able to meet our customers’ demands in this reporting area.”

For additional information contact

Principal contact: Chief Consultant Kasper Selch, Danske Bank, Corporates & Institution, Transaction Banking kasper.selch@danskebank.dk or Head of Global Cash Management Peter Storgaard at peter.storgaard@danskebank.dk.

“Intesa Sanpaolo supports the TWIST BSB Standard for reporting bank fees.”

“J.P. Morgan has been instrumental in the development of the BSB standard since its inception. We worked closely with TWIST, ISO and SWIFT in the evolution of the standard to its current state which is now published under ISO20022 to help drive efficiency and transparency globally.

J.P. Morgan offers Billing Statements based on the TWIST BSB standard in all core markets outside of the U.S. Through a convenient online tool with bulk export functionality and delivery via SWIFTNet FileAct and host-to-host transmission by year-end, our corporate clients can now easily receive and store statements in an electronic format and have instant access to their current and historical billing data.

As corporates continue to extend their global reach, we are pleased to be able to offer the BSB to help organizations enhance visibility across their global banking structures and to help fulfill their go green initiatives through this paperless solution for bank billing.

For additional information contact your J.P. Morgan Relationship Manager or Jamie Yang at jamie.g.yang@jpmorgan.com / +1 312 954 3826.

Previously Lloyds TSB said: “Lloyds TSB are about to undertake a major internal project where it will seek to migrate all charging processes from legacy systems to a single charging system. This project is due to start in Q1 2011 with intended delivery in 2012 post Lloyds TSB and HBOS integration. Delivery of customer charging data via BSB format is one of the intended outputs that this project will deliver.”

“Skandinaviska Enskilda Banken has during the last couple of year’s undertaken large investments in the Fees & Billing area, with the intention to create a Billing and Reporting platform within Global Transaction Services. At the moment the new and improved reporting of bank fees is available to our Foreign Bank customers for Cash Clearing in the Nordic SEB Sites.

Due to an increasing demand towards BSB TWIST standard in order to streamline the process both with sender and receiver of charging data, we are proud to offer this as part of our output format.

We are continuously working on consecutive phases of migration to this platform which in the long run will mean TWIST format for all business areas within GTS and to all customer segments.

In 2 years we plan to be able to offer this enhanced type of reporting for Corporates using SEB Sites in Europe.”

For additional information please contact Linda Wade, Global Billing Portfolio Manager at: linda.wade@seb.se.”

“Société Generale was among the first banks to propose a BSB solution in France. We keep on supporting this initiative and would be ready to widen our offer as demand actually grows.

In fact, we are already scheduled to enhance our services in this area in the frame of our 2015 GTB strategic plan.”

For additional information contact your Société Générale relationship manager.

Previously Standard Bank said “Standard Bank is currently implementing a new billing system and it is definitely our intention to enable billing according to the TWIST standard once this has been stabilised.”

For more information about the TWIST BSB at Standard Bank contact Richard Stocken at Richard.Stocken@standardbank.co.za.

“Bank Standard Chartered currently offers the option of TWIST BSB XML statements to our corporate clients over ten markets across Asia, Africa and the Middle East, with plans to extend this service to 2 new markets by year end. At the same time, we are improving our capability to incorporate AFP Global Service Codes in our BSB XML file. This will be made available in January 2013.

Additionally, we will work closely with TWIST to align ourselves to the ISO20022 standards which has been recently published.”

For additional information or update at Standard Chartered Bank contact Puay San Oh at puay-san.oh@sc.com.

“Since June 2012 UniCredit offered the new global format for BSB, camt.086.

Camt.086 is covered by ISO 20022. This is an additional global product, with a global format beside SEPA within our Paneuropean value proposition.

UniCredit provides this service for Germany, Czech Republic, Hungary, Slovakia, Slovenia.

We plan to cover Italy and all other Eastern European countries by end of Q4/2013.

Camt.086 service is still based on the new AFP Global Service Codes.

We are delighted to provide camt.086 already to some big corporate customers.”

We are delighted to provide camt.086 already to some big corporate customers.”

For further information please contact your UniCredit Cash Management Specialist.

News from the Corporates

Martin Postweiler says “Deutsche Lufthansa AG is currently preparing to roll-out the controlling of bank charges to one of its shared service centers. The idea is to implement an automated process for a central monitoring of bank fees worldwide for all Lufthansa Group entities, wherever a TWIST billing is available. This would include a monthly auto reporting to each bank with any potential billing errors. With this process the banks will also benefit as they will not receive numerous local billing inquiries any more.

For Lufthansa the savings effect is only one aspect. Probably more important is the chance to be able to identify and change any issues with regards to the payment process group wide, like manual payments or non-STP payments.

Finally, the TWIST reporting enables Lufthansa to keep their bank account management up to date more easily: any new account in a TWIST country will immediately pop up in the report, whereas closed accounts will not be kept in the database longer than necessary.

Lufthansa is currently receiving TWIST reports for almost 40 countries worldwide by its two strategic cash management banks (Deutsche Bank and Citibank). Other banks like UniCredit and HSBC have also promised to look into providing TWIST reports even for a smaller number of bank accounts.

Countries that are currently available for Lufthansa are Austria, Algeria, Australia, Belgium, Brunei, Bulgaria, Cameroon, Canada, China, Czech Republic, Denmark, Egypt, Finland, France, Gabon, Germany, Ireland, Israel, Italy, Kazakhstan, Kenya, Lebanon, Netherlands, New Zealand, Norway, Philippines, Portugal, Romania, Russian Federation, Slovakia, South Africa, Spain, Sweden, Switzerland, Turkey, Ukraine, United Arab Emirates, United Kingdom, United States.“

Jonas Korte of Siemens AG says “After testing and reviewing first real-live TWIST files in the last fiscal year, Siemens AG is just about to start the implementation of a software solution which will allow the automated handling, processing and analyzing of electronic bank fee information. The provision of such files becomes an important request to our partner banks and their networks from now on. We are in vital exchange with banks and corporates about the topic and looking forward to finally ‘go-live’ with TWIST BSB but also with the camt.086 format.“

News from the Vendors

Open Solutions (Weiland) says “BRMedge now fully supports the recently released AFP Global Service Codes, and integration of the camt.086 BSB format is nearly complete and will be available to customers in our next release. Interest in and use of the BSB is increasing. Global companies, particularly those based in the US and familiar with the 822, are now looking for the same benefits, analytics and cost reduction through analysis of their foreign banks’ billing statements. As expected, as more global banks begin producing the BSB, more global corporations are signing up for their banks’ BSB output. We now have 21 of our BRMEdge™ customers activated for BSB acceptance and we are receiving more frequent inquiries.”

For additional information contact Mike O’Brien at Michael.o’brien@opensolutions.com  /  +1 847 810 6113.

“Chesapeake is implementing ISO 20022 camt.086 message support in its next major release of SmartAnalysis. TWIST messages will continue to be supported indefinitely, as long as that format remains active. However, we anticipate that most banks not offering TWIST will go directly to camt.086, accelerating the proliferation of BSB and adoption of the global standard.

Also, in response to a dramatic increase for our customers in reporting from foreign banks, SmartAnalysis has added additional support for multicurrency within the software, displaying the currency, conversion rate, original currency unit price and original currency cost. This added capability allows user to run queries on fees and view the original currency cost, such as EUR, and the USD equivalent side by side.”

For additional information contact John Snyder, jsnyder@chessys.com, +1 410 356 6805 x118.

“Schwabe, Ley & Greiner, the leading European treasury consulting company, announces the support of the camt.086 message as part of their treasury reporting and bank fee controlling software TIP. This and their new SaaS “Bank fee cockpit” were presented at their annual user conference to around 100 corporates, which are already using TIP as their regular treasury reporting system. The “Bank fee cockpit” allows corporates to upload their bank fee statements (EDI.822, TWIST XML, camt.086, Excel) to a web-based platform and in return they will receive a detailed analysis of these fees. Due to the SaaS structure this can be provided for moderate monthly fees. An evaluation access to the “Bank fee cockpit” is provided free of charge.

For more information or an online demo of the Treasury Information Platform please contact Hubert Rappold at tip@slg.co.at.

Treasury Intelligence Solutions (TIS) says “Interest in solutions to manage and control bank charges is increasing. The higher transparency allows for improved management of banking relationships. We have launched our Bank Fee Manager (BFM) which allows companies to receive TWIST/BSB messages via email, SWIFT or host-to-host connection and check them fully automatically. The solutions offers target / actual comparisons, rating systems for service quality, extensive reporting with drill-down function and automatic alerting with email notification of deviations. The solution is offered as software as a service (SaaS) and delivers quick time to value.”

For additional information contact Joerg Wiemer at Joerg.wiemer@tis.biz / +49 6227 69824 10.

“Infor is a leading provider of business software and services. Our solutions represent a tremendous value and capability in meeting goals for revenue and profitability growth. Infor Complete Billing System stands as a proven leader in accurately analyzing customers and maximizing profit from fee-based services. The product provides full support of global processing needs for international billing and has advanced pricing options such as price tiers, percentage discounts, and per mil pricing. The product provides multiple statement delivery options, including full support of BSB and AFP Global Billing Codes. Infor also offers a client viewer that imports the XML data to facilitate easy reading of the statement information, including services, volumes, and currencies. Financial institutions using Complete Billing System continue to see growth of adoption of BSB by their corporate clients.

Infor is proud to have participated in the joint workgroup that developed the camt.086, the ISO 20022 counterpart of the TWIST Bank Services Billing (BSB). Infor remains committed to staying at the forefront of providing standardized offerings in the global billing arena.”

To learn more about Infor’s billing solution, visit us www.infor.com/solutions/fms/corebanking, or contact Randy Powers at 407-916-4843 or randy.powers@infor.com.

SunTec says: “As a leading provider of Relationship-based Pricing and Centralized Billing solutions to the Financial Services industry, SunTec is committed to delivering solutions which meet the standards followed by the industry. TWIST BSB is for the distribution of electronic details which reflect the charges applied to clients. SunTec has delivered TWIST through its standard data interfacing platform.

SunTec is also one of the authorized licensee holder of AFP service codes. In near future, our product will be ready to support the TWIST AFP global service codes.

We are also engaged with TWIST organization in introducing standards such as implementing the ISO 20022 camt.086 in the future.”

Zafin Labs says “As the leading provider of Relationship Banking Solutions in the Financial Services industry, Zafin Labs is committed to delivering and supporting pricing and billing innovations that enhance the customer experience. Our solutions are fully compliant with standards such as TWIST BSB which increase transparency and has successfully delivered the same to Tier 1 banks globally as part of the miRevenue implementations.”

Lastly you can participate

• Pass this newsletter on to others who might be interested and email us to include them in future mailings.
• Corporates, you should contact your bank relationship managers to let them know of your interest in receiving the BSB.
• Let us know if your company or bank wishes to be publicly identified with the TWIST BSB project and what you are doing.

Best Regards,
Paul Burstein

paul.burstein@twiststandards.org

Contacting TWIST

TWIST Process Innovations Ltd

Cheyne House, Crown Court
62-63 Cheapside, 4th Floor
London, EC2V 6JP
United Kingdom

Email: info@twiststandards.org

Web: To find out more about TWIST activities, please register at www.twiststandards.org