CHAPS

CHAPS (acronym for Clearing House Automated Payment System) is a same-day automated payment system for processing sterling payments made within the UK, between its member banks.

The main benefit of CHAPS is that it is fast as the money is transferred the same day. Unlike other forms of payment such as cheques, CHAPS payments are irrevocable. CHAPS Sterling is one of the largest real-time gross settlement systems in the world. Banks themselves use CHAPS to move money around the financial system, but it is also used regularly for business-to-business payments, and personal transfers of a high-value.

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