Negotiated bank charges

This functionality is specific for Japan.

In Japan, the sender pays all the bank charges at the end of the month, based on the number of payments transferred. If the sender pays the bank charges, the full invoice amount is paid. If the receiver of the transfer, who is usually the supplier, pays the bank charges, the bank costs are charged for every payment made. Depending on the transfer method, the bank charges are then deducted from the transaction amount.

In addition to the standard bank charges, in Japan, you can have bank charges that result from negotiations with the bank about the charges to be paid for payment transactions. Having two bank charge amounts, standard and negotiated, the payer can decide what amount they charge the supplier. If the supplier pays the standard bank charge, an additional profit is realized: the difference between the standard and the negotiated bank charge amounts.

Based on the bank charge amount, tax is added to the bank charges. The sum of the bank charge amount and the tax amount is then subtracted from the amount to be paid.