- account monitoring group
means a group of two or more MCAs and/or DCAs in respect of which one participant, the leader party, has a view over the balance on each of the TARGET accounts in the group;
- addressable BIC holder
means an entity which: (a) holds a Business Identifier Code (BIC);
- ancillary system
(AS) means a system operated by an entity established in the Union or the EEA that is subject to supervision and/or oversight by a competent authority and complies with the oversight requirements for the location of infrastructures offering services in euro, as amended from time to time and published on the ECB's website, in which payments and/or financial instruments are exchanged and/or cleared or recorded with (a) the monetary obligations resulting in cash transfer orders which are settled in TARGET and/or (b) funds held in TARGET, in accordance with Guideline ECB/2022/8;
- ancillary system guarantee funds account
(AS guarantee funds account) means a technical account used for the purpose of holding guarantee funds to support RTGS AS settlement procedures A and B;
- ancillary system settlement procedure
(AS settlement procedure) means any TIPS AS settlement procedure or RTGS AS settlement procedure;
- ancillary system transfer order
(AS transfer order) means any cash transfer order that is initiated by an ancillary system for the purpose of an RTGS ancillary system settlement procedure;
- auto-collateralisation
means intraday credit granted by a euro area national central bank (NCB) in central bank money triggered when a T2S DCA holder has insufficient funds to settle securities transactions, whereby such intraday credit is collateralised either with the securities being purchased (collateral on flow), or with securities held by the T2S DCA holder in favour of the euro area NCB (collateral on stock).
- automated liquidity transfer order
means a liquidity transfer order generated automatically to transfer funds from a designated RTGS DCA to the participant’s MCA in the event there are insufficient funds on that MCA for the settlement of central bank operations;
- available liquidity
means a credit balance on a participant's account and, if applicable, any intraday credit line granted on the MCA by the relevant euro area NCB in relation to such account but not yet drawn upon, or if applicable, decreased by the amount of any processed reservations of liquidity or blocking of funds on MCAs or DCAs;
- banking group
means:
- branch
means a branch within the meaning of point (17) of Article 4(1) of Regulation (EU) No 575/2013 of the European Parleament and of the Council or point (30) of Article 4(1) of Directive 2014/65/EU of the European Parleament and of the Council;
- broadcast message
means information made simultaneously available to all or a selected group of participants;
- Business Identifier Code
(BIC) means a code as defined by ISO Standard No 9362;
- capacity opinion
means a participant-specific opinion that contains an assessment of a participant’s legal capacity to enter into and carry out its obligations;
- cash transfer order
means any instruction by a participant or a party acting on its behalf to place at the disposal of a recipient an amount of money from one account by means of a book entry onto another account and which is an ancillary system transfer order, a liquidity transfer order, an instant payment order, a positive recall answer or a payment order;
- central bank
(CB) means a Eurosystem CB and/or a connected NCB;
- central bank operation
means any payment order or liquidity transfer order initiated by a CB on an MCA opened in any TARGET component system;
- connected NCB
means an NCB, other than a euro area NCB, which is connected to TARGET pursuant to a specific agreement;
- Contingency Solution
means the functionality that allows CBs and participants to process cash transfer orders in the event that the normal operation of MCAs and/or RTGS DCAs and/or RTGS AS technical accounts is not possible;
- credit institution
means either: (a) a credit institution within the meaning of point (1) of Article 4(1) of Regulation (EU) No 575/2013 (and Article 2(5) of Directive 2013/36/EU of the European Parliament and of the Council as applicable to the credit institution) that is subject to supervision by a competent authority;
- credit memorandum balance
(CMB) means a limit set by the TIPS DCA holder for the use of liquidity on the TIPS DCA by a specific reachable party;
- cross-system settlement
means the settlement of AS transfer orders debiting the RTGS AS technical account or a sub-account of a settlement bank of one AS using AS settlement procedure C or D and crediting the RTGS AS technical account or a sub-account of a settlement bank of another AS using AS settlement procedure C or D;
- dedicated cash account
(DCA) means an RTGS DCA, a T2S DCA or a TIPS DCA;
- deposit facility
means ‘deposit facility’ as defined in point (21) of Article 2 of Guideline (EU) 2015/510 (ECB/2014/60);
- deposit facility rate
means ‘deposit facility rate’ as defined in point (22) of Article 2 of Guideline (EU) 2015/510 (ECB/2014/60);
- euro area NCB
means the national central bank (NCB) of a Member State whose currency is the euro;
- Eurosystem CB
means the ECB or a euro area NCB;
- event of default
means any impending or existing event, the occurrence of which may threaten the performance by a participant of its obligations under the Conditions contained in Annex I, Part I or any other rules applying to the relationship between that participant and the participant’s CB or any other CB, including:
- guarantee funds
means funds provided by participants of an AS, to be used in the event of the failure, for whatever reason, of one or more participants to meet their payment obligations in the AS;
- insolvency proceedings
means insolvency proceedings within the meaning of Article 2(j) of Directive 98/26/EC;
- instant payment order
means, in line with the European Payments Council’s SEPA Instant Credit Transfer (SCT Inst) scheme, a cash transfer order which can be executed 24 hours a day any calendar day of the year, with immediate or close to immediate settlement and notification to the payer, and which includes: (i) TIPS DCA to TIPS DCA instant payment orders;
- instructing party
means an entity which has been designated as such by a TIPS DCA holder or the holder of a TIPS AS technical account, and which is allowed to send instant payment orders or liquidity transfer orders and/or receive instant payment orders or liquidity transfer orders on behalf of that account holder or a reachable party of that account holder;
- intraday credit
means credit extended for a period of less than one business day;
- investment firm
means an investment firm within the meaning of Article 4(1)(1) of Directive 2014/65/EU, excluding the institutions specified in Article 2(1) of Directive 2014/65/EU as applicable to the investment firm, provided that the investment firm in question is:
- Level 3 NCBs
means the Deutsche Bundesbank, the Banque de France, the Banca d’Italia and the Banco de España in their capacity as the CBs developing and operating TARGET for the Eurosystem’s benefit;
- liquidity transfer order
means a cash transfer order to transfer a specified amount of funds for the purpose of liquidity management;
- marginal lending facility
means ‘marginal lending facility’ as defined in point (56) of Article 2 of Guideline (EU) 2015/510 (ECB/2014/60);
- marginal lending facility rate
means ‘marginal lending facility rate’ as defined in point (57) of Article 2 of Guideline (EU) 2015/510 (ECB/2014/60);
- mobile proxy look-up (MPL) service
means a service which enables TIPS DCA holders, AS using TIPS AS technical accounts and reachable parties, who receive from their customers a request to execute an instant payment order in favour of a beneficiary identified with a proxy (e.g. a mobile number), to retrieve from the central MPL repository the corresponding beneficiary IBAN and the BIC to be used to credit the relevant TARGET Instant Payment Settlement (TIPS) account;
- near instant payment
means a transfer of cash order which complies with the European Payments Council’s SEPA Credit Transfer Additional Optional Services (SCT AOS) NL Standard for instant processing of SEPA credit transfers;
- network service provider
(NSP) means an undertaking that has been awarded a concession with the Eurosystem to provide connectivity services via the Eurosystem Single Market Infrastructure Gateway to the TARGET services;
- non-settled cash transfer order
means a cash transfer order that is not settled on the business day on which it is accepted;
- participant
means;
- payee
means, except where used in Article 29, Part I of Annex I, a participant whose MCA or DCA, will be credited as a result of a cash transfer order being settled;
- payer
means, except where used in Article 29, Part I of Annex I, a participant whose MCA or DCA, will be debited as a result of a cash transfer order being settled;
- payment order
means any instruction by a participant or a party acting on its behalf to place at the disposal of a recipient an amount of money from one account by means of a book entry onto another account and which is not an AS transfer order, a liquidity transfer order, an instant payment order or a positive recall answer;
- positive recall answer
means, in line with the European Payments Council’s SEPA Instant Credit Transfer (SCT Inst) scheme, a cash transfer order initiated by the receiver of a recall request, in response to a recall request, for the benefit of the sender of that recall request;
- public sector body
means an entity within the ‘public sector’, the latter term as defined in Article 3 of Council Regulation (EC) No 3603/93;
- reachable party
means an entity which: (a) holds a Business Identifier Code (BIC);
- Real-time gross settlement ancillary system settlement procedure
(RTGS AS settlement procedure) means one of the range of special, predefined services for the submission and settlement of AS transfer orders related to settlement of AS on RTGS DCAs, sub-accounts and RTGS AS technical accounts;
- Real-time gross settlement ancillary system technical account
(RTGS AS technical account) means an account held by an AS or by the CB in its TARGET component system on behalf of the AS and used in the context of an RTGS AS settlement procedure;
- recall request
means a message from an RTGS DCA holder, a TIPS DCA holder or a TIPS AS technical account holder requesting reimbursement of a settled payment order or instant payment order respectively;
- rule-based liquidity transfer order
means a liquidity transfer order that is triggered as a result of: (a) the balance on an MCA, or RTGS DCA or TIPS DCA breaching a pre-defined floor or ceiling;
- settlement bank
means an RTGS DCA holder whose RTGS DCA or sub-account is used to settle AS transfer orders submitted by an AS using the RTGS AS settlement procedures;
- settlement bank account group
means a list of RTGS DCAs and/or sub accounts set in the context of the settlement of an ancillary system using RTGS AS settlement procedures;
- suspension
means the temporary freezing of the rights and obligations of a participant for a period of time to be determined by the participant’s CB;
- technical malfunction of TARGET
means any defect or failure in the technical infrastructure and/or the computer systems used by the relevant TARGET component system, or any other event that makes it impossible to execute and complete the processing of cash transfer orders according to the relevant parts of this Guideline in the relevant TARGET component system.