News

Citigroup Receives NACHAs 2005 Payments System Award

Tuesday 12 April 2005 00:11 CET | News

The Electronic Payments Association has awarded its 2005 George Mitchell Payments System Excellence Award to Citigroup.

In 2004, Citigroup doubled the volume of automated clearing house (ACH) payments it originated, and implemented ARC check conversion in its Citi Cards business unit for checks it receives from its cardholders. In 2004, Citigroup originated 425 million ACH payments, including on-us items, doubling its volume of 2003, and in the process jumping from the eighth to the fifth largest bank originator of ACH payments, according to the NACHA Top 50 list. Seventy-eight percent of Citigroups ACH growth is attributable to a decision by its Citi Cards business unit to use ARC to convert checks it receives from its cardholders into ACH debits. In 2004 Citi Cards converted 162 million of these checks into ACH debits. At its current rate, the Citi Cards unit alone will use ARC to convert 300 million checks into ACH debits in 2005. In addition to ARC, Citi Cards uses Internet-initiated (WEB) and telephone initiated (TEL) e-checks to collect payments from its cardholders. In 2004, Citi Cards originated 39 million and 8 million of these payments, respectively. Including other business units covering mortgages, loans, insurance, investments, payroll and pensions, as well as its own vendor payments, Citigroup used the ACH Network for 255 million of its internal payments in 2004, and is on pace for 400 million in 2005. Each year NACHA presents the George Mitchell Payments System Excellence Award in recognition of individuals and organizations that have improved the nations payments system. The award is named in honor of George Mitchell, former Vice-Chairman of the Federal Reserve Board of Governors.


Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: ,
Categories: Payments & Commerce | Payments General
Countries: World
This article is part of category

Payments & Commerce







Industry Events