Mexico: Usage of the intermediary bank's BIC in field 57A of cash instructions
Clearstream Banking1 would like to inform customers of the importance of correctly using the intermediary bank's BIC in field 57A for cash instructions to ensure full straight-through processing (STP) of payments effective
Citibanamex Mexico as Clearstream Banking’s cash correspondent bank (CCB) for Mexico (MXN) has reminded the importance of correctly using the intermediary bank’s BIC in field 57A of the cash instruction message.
In order to avoid performing manual repairs processed against Citi’s internal Manual Payment Processing policies, and guarantee full STP of payments, Citibanamex asks its clients to review and update their standing instructions in place, which must always include the correct intermediary bank’s BIC in field 57A of the instruction message.
Cash instructions with Banxico’s (Mexico’s central bank) BIC
The usage of Banco de Mexico’s (Banxico – Mexico’s central bank) BIC in field 57A must be used only if the Banxico acts as intermediary bank and the beneficiary account to be credited is opened directly with Banxico. Using Banxico’s BIC in all other cases will result in immediate rejection by the local payment system.
Citibanamex will continue to repaire and process incorrect payment instructions until 6 November 2020. Customers should note that effective 9 November 2020, for all payment instructions received with an incorrect intermediary bank’s BIC in field 57A, no manual repairs will be performed and payments will be cancelled without any responsibility on Citibanamex.
Impact on customers
Customers are required to review and update (if applicable) their standing instructions for payments to counterparties containing an incorrect intermediary bank’s BIC.
Effective 9 November 2020, payments containing wrong intermediary bank’s BICs will no longer be repaired and processed, without any responsibility on Citibanamex.
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for Clearstream Banking AG customers using Creation Accounts), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500.