Regulatory Alerts2021-12-29
Added · Updated
Payment Arrangements for Property Transactions (PAPT)
The Hong Kong Monetary Authority issued this circular to direct Authorized Institutions to prepare for the implementation of the Payment Arrangements for Property Transactions. The initiative requires mortgage loan proceeds to be disbursed directly between banks via CHATS to mitigate risks associated with law firm operational disruptions. Institutions are urged to review internal resources, provide feedback on operational feasibility, and plan for system development and staff training ahead of the expected launch within three to six months.