On February 7th, VSoft’s conducted its X-Change Seminar on the NACH Payments System. The event was organized at Orchid Hotel, Mumbai and was attended by business and techno functional executives from various banks. Representatives from regulatory bodies also participated in the event.
As the name suggests, X-Change was conceived as a platform for open exchange of ideas, vision, processes and knowledge on the emerging regulatory and technology trends in the BFSI sector of India. After the nationwide implementation of Cheque Truncation System or CTS, RBI and NPCI are now gearing up to introduce another historic and national-level system called the National Automated Clearing House or NACH. According to NPCI, the new system will provide a national footprint and is expected to cover the entire geography of the country.
The purpose of the seminar was to briefly examine the broad objectives of the new NACH System and also to show a brief demonstration of VSoft’s new mandate enabled ACH payments system – Centrum. The showcase of the event was the product presentation and demonstration presented by Mr. Vamsi Madhav, Chief Products Officer at VSoft and Mr. Piyush Bhat, Vice President, Product Engineering. Mr. Vamsi opened the presentation by discussing the objectives with which NPCI has launched the new NACH platform and how it was a step forward for the Indian Payments ecosystem to move from the existing ECS payments to the new NACH system in terms of having a real-time payments system aligned to international standards.
He then went on to explain that VSoft’s Centrum Mandate Enabled ACH payments solution has been developed to facilitate NPCI’s objective and would ensure a quick and smooth transition of the banks to the new platform. A product demonstration was then done to highlight VSoft’s product capability and adherence to NPCI standards. Various deployment models of the outsourced service offerings were also touched upon.
After the presentation, the floor was thrown open for customer queries and discussion, which mostly revolved around the migration process and the various deployment models. Participation of the Mr. Kiran Hejmadi from NPCI in the discussion provided clarity on the points of migration and the processes to be enforced by banks, from the regulators point of view.