Remittance of Funds

The Remittance Payer remits funds to the operational bank account of the Clearance Manager, i.e. funds have been transferred out of the Remittance Payer’s account to the clearance manager's operational account.

When the method of payment is EasyPay the funds are not remitted by the Remittance Payer but by the EasyPay Provider. Therefore, when the Clearing Notification is for Remittance Payer the Total Amount does not include the Net Clearance Amounts of the Clearances where Payment Brand Code is “EP” (EasyPay). However, the agent is informed that the clearances have been paid by the EasyPay vendor.

1. Requests for Clearance where payment is split between two payment methods

Customer has purchased a service and paid the full amount to the Seller. The Seller is unable to request creation of the order with Settlement Plan as the only payment method. For example, the Seller has exhausted the limit of its Remittance Holding Capacity. ORA has agreed that the Seller remits the funds to ORA using payment methods Settlement Plan and EasyPay.

a) Preconditions

Seller has operational EasyPay Wallet. ORA has received ApprovalCode for the EasyPay payment. Airline has received the EasyPay AccountNumber from the agent as well. There are no commissions associated with the sale. Transactional and clearance currencies are the same. Clearance Manager operates daily Clearance in this market. The Seller has requested to receive ClearanceNotif message with one Clearance per ClearanceNotif message. Clearance Data has not been agreed upon and signed during the payment commitment.

b) SwO Process

• Because payment is completed with two methods of payment there are two PaymentID and therefore two CommitmentID for the same Agreement ID, which is the Order ID in this case. Consequently, ORA sends two Clearances in the ClearanceRQ message to the Clearance Manager that are associated with this payment.

• The Clearance Manager acknowledges the receipt of the ClearanceRQ message with a ClearanceRS message. The ClearanceRS message is structured as the ClearanceRQ message, has no errors and the Clearance Status Code for the two Clearances related to this payment have value “Accepted”. Both Clearances include the Settlement Date “SD” and Remittance Date “RD” as per the Clearance Schedule.

• Clearance Manager sends ClearanceNotif messages to the Seller for both Clearances – one for the Clearance with payment method Settlement Plan and one for the Clearance with payment method EasyPay – both include the Remittance Date “RD” and the Settlement Date “SD” as per Clearance Schedule.

• The Clearance Manager requests transfer of funds from the EasyPay vendor providing identification for the Payer and the ApprovalCode for the EasyPay payment.

• Following the Clearance Schedule on Clearing Notification Delivery Deadline Date the Clearance Manager sends the ClearingNotif message to the Remittance Payer. The ClearingNotif message is identified with its ClearingID and includes the Total Amount that must be remitted by the Remittance Payer (or the Seller) and the list of Clearances that have been aggregated for this Clearing Notification. The Net Clearance Amount for the Clearance with method of payment Settlement Plan is included in the TotalAmount of this ClearingNotif message but the Net Clearance Amount for the Clearance with method of payment EasyPay is not.

• The Clearance Manager receives the funds from the EasyPay vendor.

• On Remittance Date the Remittance Payer orders payment to the Clearance Manager’s bank account for funds equivalent to the Total Amount in the ClearingNotif message identified with its ClearingID. The ClearingID is included in the remarks of the bank transfer order. Funds are received by the Clearance Manager on the same day.

• On Settlement Date the Clearance Manger sends ClearingNotif message that is identified with its ClearingID. The ClearingNotif message includes the Total Amount being settled to ORA (or Settlement Payee) and the list of Clearances that have been aggregated for this ClearingNotif. The Clearances with payment method EasyPay and Settlement Plan are both included in the ClearingNotif message, each one identified with its own ClearanceID. The Clearance Manager also orders bank transfer to the ORA bank account for the Total Amount in the ClearingNotif message and includes in the remarks the ClearingID.

2. Remittance not full

On Remittance Date “RD” the Seller remits only 75% of the “Total Amount” value for the respective ClearingNotif message, which is identified with its ClearingID.

a) Preconditions

Clearance Manager’s operational bank account does not have credit line. The Clearance Manager applies the available funds from the Remittance Payer proportionally to each Settlement Payee expecting funds form the Remittance Payer. For each Settlement Payee the Clearance Manager processes its transactions on “first in first out” (FIFO) basis. This example is for sales from Orders only.

b) SwO Process

• The Clearance Manager receives payment identified with ClearingID 7531. The payment is only for 75% of the “Total Amount” value in the ClearingNotif with the same ClearingID.

• Clearance Manager identifies that Payees: ABC, XYZ and LMN have been affected by the short payment from Payer TRVL.

• The Clearance Manager identifies that there are 537 Clearance between ABC and TRVL. 75% of their value represents enough funds to pay the oldest 477 individual transaction and partially transaction 478. The remaining transactions are not settled.

• The Clearance Manager sends ClearingNotif message with ClearingID 98765 to ABC. The last 59 transactions that were supposed to be settled with this Clearing Notification but could not due to short payment are included in the ClearingNotif message with Clearance Status Code equal to “Not Settled”. The transaction immediately after the last settled transaction is included in the ClearingNotif message with Clearance Status Code equal to “1-Partially Settled” indicating the amount being settled in the data element “Net Clearance Amount” and the amount not yet settled in the data element “Remaining Amount”. The value of the data element “Total Amount” in the ClearingNotif is the sum of the values of the data element “Net Clearance Amount” for all transactions with Clearance Status Code equal to “Fully Settled” and “Partially Settled”.

• The Clearance Manager processes the Clearances between TRVL and XYZ and TRVL and LMN in the same manner as described for ABC above.

• Seller is given 24 hours to pay the missing funds.

• The next day Seller pays the remaining 25% in full.

• The Clearance Manager includes the paid Clearances identified by their ClearanceID in the next ClearingNotif message with ClearingID 98767. The value of the data element “Total Amount” of ClearingNotif message with ClearingID 98767 includes the 25% of the not settled amount from ClearingNotif message with ClearingID 98765. The 59 transactions that were not included in ClearingNotif message with ClearingID 98765 have been added to the ClearingNotif message with ClearingID 98767 with Clearance Status Code equal to “Final Settlement”.

3. Remittance not full with clawback following the settlement.

On Remittance Date “RD” the Remittance Payer remits funds that are 90% of the expected “Total Amount” value for the respective ClearingNotif message identified by its ClearingID. Regardless of the short payment by the Remittance Payer, the Clearance Manager sends ClearingNotif messages to the concerned Settlement Payees that show all Clearances as 100% settled. The Clearance Manager transfers 100% of the funds that the Settlement Payees expect to receive as indicated in the corresponding ClearingNotif messages.

a) Preconditions

Clearance Manager’s operational bank account has credit line. The Clearance Manager pays Settlement Payees 100% of Total Amounts to be settled on the settlement day. The Clearance Manager retrieves money from Settlement Payees in the next available settlement period, after the seller’s status becomes “defaulted”. For each Settlement Payee the Clearance Manager “claws back” the full amount that has been paid since the first period of default of the Seller. The value of the data element “Total Amount” in the following ClearingNotif message is higher than the total amount of the funds with Settlement Code “Claw Back”, otherwise ClearingNotif messages must be sent to the original Settlement Payee. This example is for sales from Orders only.

b) SwO Process

• The Clearance Manager receives payment identified with ID 91287. The payment is only for 90% of the “Total Amount” value in the ClearingNotif with the same ClearingID.

• Regardless of the short payment on Settlement Date “SD” the Settlement Manger sends ClearingNotif where the value of the data element “Total Amount” is 100% of what is expected. The Clearance Manager also orders bank transfer to the Settlement Payee’s bank account for an amount equal to the value of the data element “Total Amount” in the ClearingNotif.

• The Clearance Manager cannot collect the 10% and therefore must recover the funds that have been previously paid to the Settlement Payee.

• The Clearance Manager identifies that Settlement Payees: ABC, XYZ and LMN have been affected by the short payment from Payer TRVL. The Clearance Manager must recover 100% of the funds paid to each one of the Settlement Payees.

• The Clearance Manager adds all impacted Clearances identified by their ClearanceID to the next ClearingNotif message. The Clearance Status Code for each is set to “Claw Back”. The ClearingNotif message with its ClearingID (ClearingID 87675) is sent to ABC. The Clearance Manager also orders bank transfer to ABC’s bank account for funds equivalent to the value of the data element “Total Amount” in the ClearingNotif message with ClearingID 87675 and includes the ClearingID in the remarks of the bank transfer order. When calculating the value of the data element “Total Amount” in ClearingNotif with ClearingID 87675 is calculated the Clearances with Clearance Status Code equal to “Claw Back” are added after being multiplied by -1.

• Settlement Manage repeats the same steps for Payees XYZ and LMN. The number of individual transactions from the original Clearance for each Settlement Payee will be different.