What Is CHAPS?
CHAPS (Clearing House Automated Payment System) is the UK’s high-value, real-time gross settlement (RTGS) payment system operated by the Bank of England. It enables same-day electronic transfers in British pounds (GBP) for large or time-critical transactions between banks, businesses, and individuals.
Key Features
- Real-Time Settlement: Payments are processed individually and settled immediately.
- No Upper Limit: Ideal for high-value transactions without maximum transfer restrictions.
- Same-Day Transfers: Funds are available to the recipient on the same business day.
- Secure and Irrevocable: Operates under strict security and compliance standards.
Common Uses
- Property purchases and mortgage completions.
- Corporate payments such as supplier invoices and taxes.
- Financial market transactions including FX and money markets.
- High-value individual transfers for large purchases.
