Banking glitch stops salary payments

Payments NZ, which manages overnight payments between banks through its Swift network, says a computer glitch hit its system at 2am this morning.

The problem - caused by a single faulty jumper cable - affected all New Zealand banks, and meant payments - including thousands of wages and salaries - did not go through.

Payments NZ CEO Steve Nichols said that the fault was fixed, but it would take time to sort out all payments.

“Experts from all banks have been working throughout the night to clear the backlog of payments. Some payments have been processed already and we expect that everything will be back to normal soon.”

Most payments had been put through by around 1.30pm.

Although tens of thousands were affected, a recent move from single overnight payments to banks exchanging payments five times a day limited the scope of the problem.

This article is tagged with the following keywords. Find out more about My Tags

Post Comment

6 Comments & Questions

Commenter icon key: Subscriber Verified

wasn't another accidental test of the internet "off" switch was it?

Reply
Share

Something new here. The NZ bulk payments interchange and bank settlement system never used to use SWIFT. Seems banks have not tested these newly introduced SWIFT interfaces or maybe the SWIFT network had an overload (originally designed for Forex payments). Maybe NZ should not have its payment system dependant on an offshore host/supplier.

Reply
Share

all part of global integration.

Reply
Share

5 times a day i got nothing still

Reply
Share

a salient example of the downfall awaiting NZ due to this national party government's quest to centralise/cheapen 'back office functions' to a single supplier 9who, usually will find NZ's business such a small % that often little notice will be taken). This is part of John key's idiot & dishonest economic strategy for NZ to fatten the pockets of middlemen who happen to be NP members. Hopefully, there will be some journalists/newspapers who will begin to expose this soon.

Reply
Share

As much as I dislike John Key, this has nothing to do with him. SWIFT is the most reliable financial messaging system on the planet and as someone who worked on the SBI project I must say I'm surprised and sceptical to hear that this was a SWIFT issue. I think you should be pointing your fingers at AT&T. Enough said

Reply
Share

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.7867 0.0039 0.50%
AUD 0.8921 -0.0020 -0.22%
EUR 0.6203 0.0015 0.24%
GBP 0.4899 0.0016 0.33%
HKD 6.1021 0.0301 0.50%
JPY 84.9550 0.3080 0.36%

Commods

Commodity Price Change Time
Gold Index 1228.6 -9.570 2014-10-23T00:
Oil Brent 86.8 0.380 2014-10-23T00:
Oil Nymex 82.0 1.530 2014-10-23T00:
Silver Index 17.1 -0.073 2014-10-23T00:

Indices

Symbol Open High Last %
NZX 50 5292.8 5344.4 5292.8 0.77%
NASDAQ 4459.5 4460.5 4452.8 0.04%
DAX 9008.6 9044.9 9047.3 -0.61%
DJI 16468.1 16767.5 16614.8 0.38%
FTSE 6419.1 6419.1 6419.1 -0.42%
HKSE 23311.9 23352.6 23333.2 -0.13%
NI225 15354.4 15377.0 15139.0 1.01%