Bank payment obligation

(BPO).

A bank payment obligation is an instrument that automates the payment of trade transactions.

It is an irrevocable undertaking of a buyer's bank to pay a specified amount to the seller's bank, when it receives notification of a data match from an independent data matching service.

See also

• Letter of credit
• Data matching
• Transaction matching application

Other links

• Payment Pledge, The Treasurer, July 2013

• International Chamber of Commerce Uniform Rules for Bank payment Obligation (URBPO)