The concept of payment and settlement

Payment and settlement can be divided into broad sense and narrow sense. In a narrow sense, payment and settlement means that units and individuals use bills (including checks, promissory notes and drafts), bank cards, remittance, collection and acceptance, entrusted collection and other settlement methods for monetary payment and fund settlement, and its main function is to complete the transfer of funds from one party to the other. Generalized payment settlement includes cash settlement and bank transfer settlement. As an essential behavior, payment settlement has certain legal characteristics.

The narrow sense of payment settlement only refers to bank transfer settlement, that is, the "payment settlement" referred to in the "Payment Settlement Measures" issued by the People's Bank of China in September 1997.

Banks, urban credit cooperatives, rural credit cooperatives (hereinafter referred to as banks) and units and individuals (including individual industrial and commercial households) are the main bodies of payment and settlement. Among them, the bank is the intermediary of payment settlement and fund settlement.

Payment and settlement is a legal act.

The payment and settlement system mainly includes payment tools, payment systems, payment service institutions and relevant laws and regulations.

Traditional payment methods: cash payment and bill exchange.

Electronic payment: electronic banking, electronic remittance and China Hyundai payment.

Online payment: payment gateway, electronic wallet and electronic money.