Category 2: Financial institution transfers
MT204 Financial Markets Direct Debit Message
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The MT204 is a direct debit used in financial markets. An exchange, a clearing house or another financial institution sends it to a bank, instructing it to debit the accounts of one or more third parties, typically clearing members, and to pay the total to the sender. It needs special registration with Swift and a bilateral agreement.
What MT204 is used for
Sequence A gives the total to be reimbursed (field 19), the value date and where the sender wants to be paid (57a, 58a). Sequence B repeats for each debit, at most ten times, with the amount and the institution whose account is debited (53a).
Field 19 must equal the sum of all 32B amounts, and every 32B must be in the same currency. For example, a clearing house can use it to collect amounts due from its members through the bank that holds their accounts.
- Sent by
- An exchange, clearing house or other financial institution
- Sent to
- The bank that holds the accounts to be debited
MT204 format: sequences and fields
Sequence ACommon Elements - Reimbursement DetailsMandatory
| Tag | Name | Status | Format | Meaning |
|---|---|---|---|---|
| 20 | Transaction Reference Number | M | 16x | The sender’s reference for the whole message. |
| 19 | Sum of Amounts | M | 17d | Total of all 32B amounts in sequence B; the network checks the sum. |
| 30 | Value Date | M | 6!n | Value date of the debits (YYMMDD). |
| 57a | Account With InstitutionOptions A, B or D | O | A: [/1!a][/34x] 4!a2!a2!c[3!c] B: [/1!a][/34x] [35x] D: [/1!a][/34x] 4*35x | The institution where the sender wants the total to be paid, when it is not the receiver. |
| 58a | Beneficiary InstitutionOptions A or D | O | A: [/1!a][/34x] 4!a2!a2!c[3!c] D: [/1!a][/34x] 4*35x | The institution to be credited, when it is not the sender. |
| 72 | Sender to Receiver Information | O | 6*35x | Additional coded information for the receiver. |
Sequence BTransaction DetailsMandatory, repeatable
Repeats once per debit, at most ten times.
| Tag | Name | Status | Format | Meaning |
|---|---|---|---|---|
| 20 | Transaction Reference Number | M | 16x | Reference of this individual debit. |
| 21 | Related Reference | O | 16x | Reference of the underlying transaction, such as a margin call. |
| 32B | Transaction Amount | M | 3!a15d | Currency and amount of this debit; the currency is the same in every occurrence. |
| 53a | Debit InstitutionOptions A, B or D | M | A: [/1!a][/34x] 4!a2!a2!c[3!c] B: [/1!a][/34x] [35x] D: [/1!a][/34x] 4*35x | The institution whose account at the receiver is to be debited. |
| 72 | Sender to Receiver Information | O | 6*35x | Additional information about this debit. |
Format notation: n digits, a upper-case letters, c upper-case letters and digits, x any character of the Swift character set, d a decimal number with a comma, ! fixed length, [ ] optional, 4*35x up to 4 lines of 35 characters. M mandatory, O optional, C conditional (a rule decides).
MT204 in ISO 20022
Swift’s CBPR+ roadmap names pacs.010 (Financial Institution Direct Debit) as the replacement and plans an end of life for the MT204; check the current roadmap for the date.
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