Does eGAINS support third-party billing?
Does FIA Tech manage eGAINS pays and collects?
What is the Automated Clearing House (ACH) or Low Value Payment System?
What is the difference between ACH and a wire transfer?
Since JPMorgan Chase facilitates the month-end pays and collects, must I establish a banking relationship with JPMorgan Chase?
Will the ACH or Low Value Payment System auto debit my account or do I need to authorize my bank to release the funds?
What are JPMorgan Chase’s banking instructions – Where will my credits come from and my debits sent to?
As an executing and clearing participant, will eGAINS net my pays and collects?
Since the credit for my executed transitions will not post to my bank account for 60 business days, how do I manage the accrual?
In the event I’m debited in error, how do I get the problem resolved?
What is FPS?
Will eGAINS observe holiday schedules?

To view additional Frequently Asked Questions, please click on the applicable link below:

FAQ eGAINS Overview

FAQ eGAINS Set-Up

FAQ eGAINS Trade Processing

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» Does eGAINS support third-party billing?

Yes. The third-party, or customer, must become an eGAINS participant however by completing the eGAINS Processing Agreement and submitting their banking instructions to FIA Tech. Within the eGAINS third-party relationship, the executing broker has the ability to bill the customer and receive the execution fees through the system as opposed to invoicing the customer for payment outside of the eGAINS system. Since rates and give-up fee information is proprietary, the executing brokers may hide the rate schedule from the clearing broker (since, in third-party relationships, the clearing broker is not part of the billing process).

» Does FIA Tech manage eGAINS pays and collects?

Yes with respect to providing monthly pay/collect instructions to the banking correspondent - JPMorgan Chase. No, with respect to funds movement. JPMorgan Chase, through their Automated Clearing House (ACH) or Low Value Payment System, processes the funds transfers as instructed by FIA Tech, using JPMorgan Access.

» What is the Automated Clearing House (ACH) or Low Value Payment System?

The ACH Network or Low Value Payment System is a highly reliable and efficient batch-oriented electronic funds transfer system. The system provides interbank clearing of electronic payments for participating depository financial institutions. With respect to the eGAINS banking relationship, JPMorgan Chase acts as an intermediary or ACH Operator for transmitting and receiving ACH entries on behalf of FIA Tech. JPMorgan’s Global ACH, an internet-based method for facilitating international cash management, bridges the gap of global complexities (i.e. diverse clearing systems, banking practices, and regulations) by standardizing international pays and collects securely and cost effectively.

» What is the difference between ACH and a wire transfer?

The primary differences are timing and cost. Wire transfers settle same-day whereas ACH transactions typically settle two or three business days after the transfer is initiated (depending on the country’s clearing cycle procedures). Since wire transfers settle same-day the cost is significantly higher than ACH transactions.

» Since JPMorgan Chase facilitates the month-end pays and collects, must I establish a banking relationship with JPMorgan Chase?

No. You may create any banking relationship you wish as long as JPMorgan Chase recognizes the entity and can transfer monies to and from the organization. Additionally, you cannot co-mingle currencies into one account – accounts must be segregated by currency type. Lastly, accounts must be established in the country in which the currency is held (i.e. USD payments must be held in the US).

» Will the ACH or Low Value Payment System auto debit my account or do I need to authorize my bank to release the funds?

You must instruct your bank by completing a 3rd Party Debit Authorization Form (typically supplied by your bank and filed by you, the account holder, with your bank), to release funds to JPMorgan Chase.

Further, for direct debit relationships (i.e. carrying firms), each debit requires written notice to the debtor in advance of the debit transaction. Written notice must include the bank requesting the debit, payment total, settlement date, and mandate identification number. The notification must be received by the prescribed country deadline to effectuate release of funds (Germany - EUR, 10 business days; UK – GBP, 10 business days; US – USD, same day release).

» What are JPMorgan Chase’s banking instructions – Where will my credits come from and my debits sent to?

JPMorgan Chase (JPMC) banking instructions include: EUR, JPMC Frankfurt; GBP, JPMC London; USD, JPMC New York.

No. All payments are gross and viewed by JPMorgan Chase as unique and distinct transactions. Further, even though rates within the give-up agreement may be denominated in the same currency at multiple exchanges, clearing participants are debited on the 17th business day and executing participants are credited on the 60th business day following the clearing firm debit. Hence the timing of pay/collects precludes netting.

Upon applicable settlement dates, there will be one debit per currency per clearing firm and one credit per currency per executing firm. In other words, clearing firms pays will be aggregated and executing firm collects will be aggregated by currency and settlement period.

» Since the credit for my executed transitions will not post to my bank account for 60 business days, how do I manage the accrual?

eGAINS provides end-of-month trade, position, and pay/collect summary reports. The reports detail the debit and credit amounts as well as the specific date to which the monies will be credited to or debited from your bank account.

» In the event I’m debited in error, how do I get the problem resolved?

FIA Tech will debit and credit the amount approved on Day 16 of the payment schedule. If an erroneous debit (or credit for value other than what was expected) is applied to your bank account by JPMorgan Chase, FIA Tech will research and advise. If a dispute arises over the amount the participants have approved, that dispute must be settled outside the system.

» What is FPS?

FPS or Faster Payments Service is a UK banking initiative designed to improve the speed of low value payments to near real-time (essentially as if two accounts were in the same bank). FPS shall support one-time payments, standing orders, corporate bulk payments, and return payments. The system, designed by APACS is comprised of a network of member institutions (banks) surrounding the core central system. The central system will handle the actual message switching in near real-time, as well as manage the settlement of accounts at the Bank of England. FPS shall be launched on 27th May 2008 at which point the banks shall begin to roll out the service to their customers.

» Will eGAINS observe holiday schedules?

eGAINS recognizes holiday’s common to the European Union, United Kingdom, and the United States. FIA Tech shall adjust debit and credit dates to the degree the payment date(s) coincide with a local holiday. The dates shall be provided in advance of the settlement period. This is subject to change as exchanges and currencies are added to eGAINS.