ECB Report

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ECB Report
by Redakcja Aktualności - Tuesday, 25 December 2018, 5:11 PM

TARGET Instant Payment Settlement (TIPS) is a new market infrastructure service launched by the ECB | Report | How does it work? TIPS offers final and irrevocable settlement of instant payments in euro, at any time of day and on any day of the year. Participating payment service providers can set aside part of their liquidity on a dedicated account opened with their respective central bank, from which instant payments can be settled. It is only possible to add funds to TIPS accounts during TARGET2 opening hours. As settlement in TIPS takes place in central bank money, participation in TIPS depends on being eligible to access central bank money. For this reason, in order to open an account in TIPS in euro, an institution needs to fulfil the same eligibility criteria as for participation in TARGET2.

Source: ECB