August 2016

SWIFT FIN Manual

SWIFT for Corporates

2

SWIFT for Corporates | Manual SWIFT FIN

Table of Contents 1. INTRODUCTION 3

2. WHAT IS RABOBANK SWIFT FOR CORPORATES? 4

3. SETTING UP RABOBANK SWIFT FIN FOR USE 6

3.1 Requesting required components 6

3.2 Implementing SWIFT FIN 6

3.2.1 Testing the message format by MyStandards 6

3.2.2 Establishing the connection with Rabobank 7

3.2.3 Testing in acceptance environment and production environment 7

4. INITIATION VIA SWIFT FIN 8

4.1 General information 8

4.2 Initiation messages for corporates 8

4.2.1 MT101 8

4.3 Initiation for (Non-Banking) Financial Institutions 8

4.3.1 MT103 8

4.3.2 MT200 9

4.3.3 MT202 9

4.3.4 MT210 9

4.4 How does Rabobank check the payment orders you have submitted? 9

4.5 Checking for duplicates 10

4.6 Country code of beneficiary (bank) 10

5. SERVICE & SUPPORT 12

5.1 Product overview 12

5.2 Support Rabobank SWIFT for Corporates for FIN messages 12

3

SWIFT for Corporates | Manual SWIFT FIN

1. Introduction

SWIFT (Society for Worldwide Interbank Financial Telecommunication) has been established for the purpose of exchanging financial messages between banks. The network SWIFT uses for this purpose – SWIFTNet – is a secure and reliable method for sending and receiving data. The main reasons for corporates, pension funds, banks and asset managers to connect to SWIFTNet are: standardisation, efficiency, autonomy and security. The use of SWIFT does not require any maintenance or adjust-ments to bank-specific electronic packages, processes or different formats. This makes corporates and (Non-Banking) Financial Institutions more bank-independent. The SWIFT message standards are used on a global scale. With Rabobank SWIFT for Corporates connection, Rabobank is offering a product for companies and (Non-Banking) Financial Institutions that send and receive a limited number of secure transactions on a regular basis. In order to establish a connection to Rabobank SWIFT for Corporates you must first conclude a contract with SWIFT. More details can be found on www.swift.com/corporates.

Diagram of Rabobank SWIFT for Corporates

•FIN: MT101, MT103, MT200, MT202, MT210

•FileAct: PAIN.001, PAIN.008, BTL91

Transaction initiation

•FileAct: PAIN.002

Statusinformation

•FIN: MT195, MT295, MT910, MT940, MT942

•FileAct: MT940S, CAMT.053, MT942S, CAMT.052

Report information

Banks SWIFT Initiation

Status – and reporting

4

SWIFT for Corporates | Manual SWIFT FIN

2. What is Rabobank SWIFT for Corporates?

Rabobank uses SWIFT SCORE for its Rabobank SWIFT for Corporates proposition. SCORE is the name of a standard set of services and messages that SWIFT has established specifically for exchanging messages between corporates and their banks. Rabobank offers two types of SWIFT services on its network:

1. SWIFT FIN for sending stand-alone standard (MT) messages SWIFT FIN is used for sending certain standard messages to corporates. Not all messages are supported (see also table1). (Non-Banking) Financial Institutions use specific messages for the exchange with Rabobank (see also table 2).

2. SWIFT FileAct for sending files over the network For the past few years SWIFT has provided the option to send files using SWIFTNet FileAct. This functionality enables you to use all formats agreed upon between you and Rabobank. With SWIFT FileAct, financial messages are placed in an envelope, as it were, and that enve-lope is sent to the bank through SWIFTNet. The bank opens the envelope and processes the payment order/file. Rabobank has a separate FileAct manual for this purpose that you can download from www.rabobank.com/swift.

Table 1 gives an overview of the standard messages that corporates can exchange with Rabobank with SWIFT FIN. It specifies which formats are available for each message type you can send with SWIFT FIN. Your account, as corporate, with Rabobank is the basis for the exchange of messages. A message may be a payment order from this (these) account(s), or an account statement of credits and debits.

Product / Service SWIFT (FIN)

Euro Payment Order (SEPA)1 MT101

Euro Payment Order (Urgent) MT101

Euro Direct Debit Order (SEPA) X

Business Euro Direct Debit Order (SEPA) X

World Payment Order1 MT101

Status Report X

Reject message MT195

Debit confirmation3 MT9002

Credit Confirmation4 MT9102

End-of-day Daily Statement MT940

Intra Day Accounting Report MT942

Table 1: SWIFT FIN overview for Corporates

1 Only immediate processing is available. 2 Only possible for accounts provided by Rabobank Corporate Support (not a local Rabobank branch).

3 The bank sends a message to the client if the client’s account has been debited.

4 The bank sends a message to the client if the client’s account has been credited with a Euro Payment, a World Pay-

ment or an interest payment.

5

SWIFT for Corporates | Manual SWIFT FIN

Table 2 gives an overview of the SWIFT FIN standard messages which (Non-Banking) Financial In-stitutions can exclusively exchange with Rabobank. It specifies which formats are available for each message type you can send with SWIFT FIN.

Product / Service SWIFT (FIN)

Euro Payment Order (SEPA) MT103

World Payment Order1 MT103

Non-Banking Financial Institution Transfer for it’s Own Account

MT200

Payment Order only between two (Non-Banking) Financial Institutions

MT202

Notice to Receive MT210

Reject message MT195/MT295

Debit Confirmation3 MT9002

Credit Confirmation4 MT9102

End-of-day Transaction Report MT940

Intra Day Transaction Report MT942

Table 2: SWIFT FIN overview for (Non-Banking) Financial Institutions

1 Only direct processing is possible. 2 Only possible for accounts provided by Rabobank Corporate Support (not a local Rabobank branch). 3 The bank sends a message to the client if the client’s account has been debited. 4 The bank sends a message to the client if the client’s account has been credited with a Euro Payment, a World Pay-

ment or an interest payment.

6

SWIFT for Corporates | Manual SWIFT FIN

3. Setting up Rabobank SWIFT FIN for use

3.1 Requesting required components

The standard steps that you, as the client, must take in order to be able to send FIN messages to or receive FIN messages from Rabobank using Rabobank SWIFT for Corporates are as follows: 1. Contract with SWIFT: to obtain authorization to use SWIFTNet, you must conclude a contract

with SWIFT, including agreements about the SWIFT service, rates and technical setup. 2. Connecting to SWIFT: arrangement for a technical connection of your financial administration

(ERP) system to SWIFTNet. 3. Contract with Rabobank: Rabobank concludes a contract with you stating that you will send

FIN messages through Rabobank SWIFT for Corporates and/or that Rabobank will send account reporting to you. Agreement regarding the formats to be processed or sent will be identified in the application form. The orders will be processed and credited or debited to the account(s) your company holds with Rabobank. On the Rabobank SWIFT for Corporates application form you can indicate the specific SWIFT for Corporates components you would like to use. Examples include: SWIFT FIN and/or SWIFT FileAct (please refer to section 2) Rabobank accounts The type of payments and/or direct debits you will initiate The message type (MT messages/PAIN) you would like to send in The type of accounting information you would like to receive

It is important that you carefully coordinate the contents of this form with Rabobank. If you need help filling in the form, please refer to the relevant explanatory notes, or ask your repre-sentative at Rabobank for assistance.

4. Implementing SWIFT FIN: Once you have completed the above steps, we will initiate the pro-cess with you to set up the connection with Rabobank. An RMA exchange of the encryption key will take place. Please see paragraph 3.2.2.

A description of the file formats can be found on www.rabobank.com/swift. These pages contain the format specifications you can currently use in the SWIFT channel. (Different) timelines have been included where relevant.

3.2 Implementing SWIFT FIN

3.2.1 Testing the message format by MyStandards

Rabobank offers you the opportunity to verify the content of the message formats in the SWIFT tool called MyStandards, before you start using the SWIFT for Corporates channel. Depending on the agreements made, you can verify in this tool whether the MT101, MT103, MT200, MT202 and/or the MT210 message meets the Rabobank format requirements (Rabobank formats are basis SWIFT mes-sages on which we applied our restrictions c.q. conditions). In MyStandards you upload your own message and select the applicable Rabobank format. MyS-tandards will then automatically check your message on rule and field level on the guidelines of the selected Rabobank format. Logging in on your own testportal takes place by using a personal user account. You can download the manual for setting up a user account from www.rabobank.com/swift via the header ‘Testservice / MyStandards’. More information about MyStandards is here to be found as well.

7

SWIFT for Corporates | Manual SWIFT FIN

3.2.2 Establishing the connection with Rabobank

Subsequently Rabobank and you will establish the connection for the MT101, MT103, MT200, MT202 and/or MT210, For the secure exchange of the messages, the RMA exchange is required. The pur-pose of the RMA exchange is to establish the encryption key between you and Rabobank. If you have a test BIC, then a separate RMA procedure for this will be necessary.

3.2.3 Testing in acceptance environment and production environment

In this paragraph we specifiy which tests must take place before your production environment SWIFT FIN will be made available to you.

Acceptance environment :

We would first like to test the test connection in the acceptance environment. In this case, you will send message through the test connection1 with your test BIC. This enables you to check whether the messages are sent correctly from you to Rabobank2. Rabobank will also verify whether the mes-sages meet the format requirements. Make arrangements with your Rabobank representative and/or your implementation specialist when you will send a test message in the acceptance environment, so they can also check for you whether the test has been succesfull.

Production environment :

Then you and Rabobank execute an acceptance test in the production environment. This test proves that the chain within the production environment is functioning correctly. For the purpose of this test you can send a message with a transaction of for instance €1.00 via SWIFT FIN with your production BIC. Make arrangements with your Rabobank representative and implementation spe-cialist on suitable dates for this test in the production environment. During this acceptance test Rabobank validates the contents of the message. If the payment is not accepted Rabobank will send you a reject message MT195/295 within 30 minutes. During this test you can also collect or receive transaction information. Your contact person during the acceptance test will give you the confirmation whether the test has been succesfull. The successful completion of an acceptance test marks the end of the testing process and the tran-sition can be made to sending FIN messages in production. Rabobank will give you additional support during the first time you send in a message. Therefore it is important that you make agreements about this with your Rabobank representative. Rabobank emphasizes that testing during the acceptance test is not a guarantee for the operation in production. You cannot derive any rights from the acceptance test. It is therefore advised is to carry out a number of acceptance tests via your production environment

1 Sending a test message is possible on workdays 24 hours a day. On Saturdays, Sundays and Holidays it is not possible to send test messages. 2 For testing of MT103 and MT202 messages (and in certain cases also MT101 messages) in the acceptance environment: you receive a NACK message within 15 minutes if the test is not succesfull. If the test is succesfull you will not receive a message.

8

SWIFT for Corporates | Manual SWIFT FIN

4. Initiation via SWIFT FIN

4.1 General information

It is important to keep the following in mind when sending in payment orders: It is important to send payment orders before cut-off time. The cut-off times or

timeframes are based on the standard Rabobank cut-off times. The cut-off times for sending payment orders can be found here.

Payment orders sent through SWIFT FIN must be prepared in your own financial admin-istration or ERP system.

Payments may only be withdrawn if the payments have not yet been processed. Please contact your Rabobank representative to withdraw a payment. If the payments have been processed, we will handle the request for cancellation. Nevertheless we are de-pendent upon the other party to be able to return the payment.

Relevant payment transfer information can be found on the following sites: - General information can be found here. - Information about processing payments on workdays / national holidays can be found

here. The format descriptions of the Rabobank message types can be found on www.rabobank.com/swift.

4.2 Initiation messages for corporates

4.2.1 MT101

An MT101 is a request for payment sent by you as a corporate client to the Rabobank. This message type is used to transfer amounts from your Rabobank account(s). You can use an MT101 to make do-mestic and/or international payments to a third party. In addition, an MT101 can be used to transfer amounts between your own Rabobank accounts.

4.3 Initiation for (Non-Banking) Financial Institutions

4.3.1 MT103

An MT103 is a message that is used in cross-border transactions for creditor payments. You may only use these messages if your company is a (NonBanking) Financial Institution. This message can be used for the following purposes:

- Euro payments in the Euro zone - International payments in a currency other than the Euro and/or outside the Euro zone

The purpose of an MT103 is to instruct the Rabobank to transfer funds from your account to a different account. If you initiate a payment on behalf of a third party from your account to a beneficiary, this is called an ’On Behalf Of Payments’ (OBOP) action. Please refer to the clarification below for more details.

On Behalf Of Payments

For On Behalf Of Payments (OBOP) only the MT103 format can be used. You should inform the Rabobank beforehand of who your OBOP relations are. Only then you can initiate a payment on behalf of your relation from your own account. U can indicate the necessary information on the application form SWIFT FIN OBOP, available via your Rabobank representative. For each relation the following information is required:

9

SWIFT for Corporates | Manual SWIFT FIN

­ A unique identifier – This identifier may contain both numbers and letters. For example you could use this partner’s Chamber of Commerce number. This code must not ex-ceed the specified Tag length of 50 characters

­ Statutory name of the OBOP relation ­ Physical address ­ Postal code ­ City ­ Country code (ISO)

Using OBOP data

- You have to enter the identifier of your OBOP relationin field 50 (options F or K) of the MT103 that you provided on the OBOP relation list to Rabobank. This identifier must be preceded by a “/”, in conformance with SWIFT formatting requirements.

- Rabobank will include the OBOP name and address information you provided to Ra-bobank previously in the payment order.

4.3.2 MT200

This message is used by a Non-Banking Financial Institution for exchanging payment instructions for an account provided by Rabobank. It is used to exchange money between different accounts by different banks of the Non-Banking Financial Institution itself.

4.3.3 MT202

An MT202 is a message used for exchange of payment instructions between (Non-Banking) Financial Institutions. The purpose of these messages is to slide money back and forth between (Non-Banking) Financial Institutions. The message can also be used for the sending party to exchange money be-tween different accounts.

4.3.4 MT210

The formal name for this report format is “MT210 Notice to Receive”, an international format used as an advance notice to the account servicing institution that it will receive funds to be credited to the Sender's account. Prior to sending an MT210 message a separate agreement is required. This mes-sage type is sent by:

­ an account owner to one of its account servicing institutions ­ a party authorized by the account owner to one of its account servicing institutions

4.4 How does Rabobank check the payment orders you have submitted?

If you send in an MT101, an MT103, an MT200 or an MT202 to Rabobank using SWIFT FIN, Rabobank has different checkpoints in place to check the transaction. Rabobank will only authorize and process a payment if it meets the requirements. The following checkpoints will take place:

- Rabobank verifies that the format of the MT101, MT103, MT200 or MT202 message meets the specific Rabobank formatting requirements.

- Rabobank verifies that the account to be debited is included in the SWIFT for Corporates contract.

- Rabobank will add to the client’s name and address information or replace it based on the information Rabobank has on file.

10

SWIFT for Corporates | Manual SWIFT FIN

- If Rabobank does not recognize the identifier of an On Behalf Of partner, the payment will be rejected.

- Any payment order sent in an MT101 or MT103 that can be fully processed as a SEPA payment, will be processed as a SEPA CT order.

If the message fails to meet one or more of these checks, the message will be rejected. If it concerns a rejected MT101 or an MT103, you will receive an MT195. Does it concern a rejection of an MT200 or MT202, you will receive an MT295. Please note: this is only possible if your messages are set up according to the current format descriptions, available on www.rabobank.com/SWIFT. If this is not the case, your Rabobank representative will contact you.

4.5 Checking for duplicates

The Rabobank wishes to prevent duplicate payments at all times. One of the measures is to check for duplicates. This measure checks whether an MT101, MT103, MT200 or MT202 has already been sent to Rabobank previously. We perform this check regardless of any PDEs (Possible Duplicate Emis-sion) or PDMs (Possible Duplicate Message) in the message. We compare the following fields with previous payment orders:

­ The contents of field 20 ­ The BIC used for delivering the message ­ The order type (MT101, MT103, MT200 or MT202)

If Rabobank rejects an MT101, MT103, MT200 or MT202 for any reason, the procedure mentioned in paragraph 4.4 will be followed. If you have corrected the payment order, you must send it with a different, unique reference value in field 20. This prevents the Rabobank from seeing the new order as a duplicate, thus rejecting it. The refer-ence value that you include in a payment order ensures that it is recognized as a new order. It also enables Rabobank to refer to the right message in case a message is rejected or if there is a problem.

4.6 Country code of beneficiary (bank)

Rabobank ensures compliance with relevant laws and regulations by completing a number of checks. The details required for these checks include the country of the beneficiary and the benefi-ciary’s bank:

- The use of field 57A is obligatory for the MT101 to specify a BIC for the beneficiary’s bank.

- Rabobank advises you to fill in the beneficiary bank’s BIC in field 57A of the MT103, the MT200 and MT202. If you don’t have this BIC, you can use field 57D to fill the coun-trycode in the name and address information of the beneficiary bank; as the last 2 characters preceded by a space on line 3 or 4. Field 59 (no letter option) in the MT101 should be used for the information of the beneficiary. The IBAN is obliged for EUR transactions within the EU/EAA zone. Also the country-code should be added in the name and address information of the bene-ficiary. On line 3 or 4, this country-code should be added at the end with at last 2 characters preceded by a space line.

- In an MT103 you preferably use field 59A for the BIC of the beneficiary. If you do not have this BIC, please use field 59 (no letter option) to add the country-code in the name and the address information of the beneficiary, in the same way as in the MT101.

- In an MT202 Rabobank advises you to use field 58A for the BIC of the beneficiary. If you do not have this BIC, you can add the country-code in field 58D and the name

11

SWIFT for Corporates | Manual SWIFT FIN

and address information of the beneficiary on line 3 or 4 at the end; at least 2 charac-ters preceded by a space line.

- The use of an IBAN is obliged for EUR payments within the EU/EAA fort he delivery via MT101, MT103, and MT202.

For more details please refer to the MT101, MT103, MT200 and MT202 format descriptions, available on www.rabobank.com/swift. Below are two examples of name and address information with US as the country code in line 3 or 4 als last 2 characters, preceeded by a space:

:59:/123456789 Company name Streetnumber Locationcode City Land US

Or: :59:/123456789 Company name Streetnumber Locationcode City Country US

If the country code of the beneficiary’s bank and/or the beneficiary is not specified, Rabobank will reject the payment order.

12

SWIFT for Corporates | Manual SWIFT FIN

5. Service & support

5.1 Product overview

It is possible to request a product overview for additional insight into your product settings. If you wish to receive this product overview you can request this via your contact person at Rabobank. The product overview is a PDF file containing the following data:

- Company name and address information - Contact information - Contract information - Account information

o Products o Charge account

5.2 Support Rabobank SWIFT for Corporates for FIN messages

Once you have successfully implemented Rabobank SWIFT for Corporates for FIN messages, you may contact your Rabobank representative for any questions or problems.