Vancouver, BC, July 13, 2021 (GLOBE NEWSWIRE) — Peoples Trust Company (PTC), part of Peoples Group, announced today it has been granted a Settlement Account by the Bank of Canada, and Notice of initial approval by Payments Canada to change PTC’s member status from an Indirect Clearer to a Direct Clearer in the Automated Clearing Settlement System (ACSS).
This marks an historical moment for the financial industry, with these changes putting PTC on track to becoming the first financial institution in Canada to be a Direct Clearer since ACSS launched in 1984. This opportunity was made possible by regulatory changes in August of 2020 that removed a volume requirement for direct participation in the ACSS. This change opened the payments ecosystem, and allows for more competition in the payments industry in Canada.
“We’re proud to have achieved this key milestone, which supports our ambitious multi-year strategic growth plan, and it will enable the logical evolution of future initiatives.” said Grant MacKenzie, President and CEO of Peoples Trust. “We thank Payments Canada and the Bank of Canada for their continuous support to help realize our ambitions and deliver greater benefits to our customers and business partners, with the addition of innovative services and offers in the future.”
“Payments Canada is excited to welcome PTC as a new Direct Participant in the ACSS as our organizations continue to work together to support PTC in the achievement of this strategic initiative.” said Tracey Black, CEO of Payments Canada. “The objectives of our Modernization program include providing broader access to Canada’s payments infrastructure, and supporting competition and innovation. Canada’s payments ecosystem is continuing to evolve to meet the payments needs of Canadians and Canadian businesses.”
The Settlement Account and Notice of Conditional Approval are the first major step for PTC in its trajectory to become a Direct Clearer in ACSS, which is targeted to be completed by Spring 2022.
For more information, visit www.peoplestrust.com
About Peoples Group
Peoples Group has been providing tailored financial services to the Canadian marketplace for more than 35 years. Since 1985 our focus has been on exceptional customer service, solidly rooted in extensive product knowledge and experience. In the world of Canadian payments, Peoples Trust, part of Peoples Group, is a leading issuer of prepaid payment cards and an innovative merchant acquirer. We are an entrepreneurial organization that excels at customizing solutions to fit the needs of our clients. As a result, we have been recognized as a pioneer and innovator of prepaid cards in Canada, and an early adopter of payment solutions. We have partnered with many of Canada’s FinTechs, giving them the tools and guidance to help realize their success. For more information, please visit www.peoplesgroup.com
About Payments Canada
Payments Canada is a public purpose organization that owns and operates Canada’s payments systems, the Large Value Transfer System (LVTS), and the Automated Clearing and Settlement System (ACSS). Payments Canada is responsible for the physical infrastructure and the associated bylaws, rules, and standards that support these systems. It also has a duty to promote the efficiency, safety, and soundness of Canada’s payments systems while taking into account the interests of end-users. In 2020, Payments Canada’s systems cleared and settled over $107 trillion—more than $420 billion every business day. Transactions that pass through these systems include debit card payments, pre-authorized debits, direct deposits, bill payments, wire payments, and cheques initiated and received by Canadians and Canadian businesses. Payments Canada is working closely with the payments ecosystem to modernize Canada’s payments systems to ensure Canada and Canadian businesses remain globally competitive. Payments Canada will launch a new high-value payment system, Lynx, in 2021 and a real-time payment system, the Real-Time Rail (RTR), in 2022.