For all Canadian dollar payment messages with the value date as today’s date should be sent as a LVTS message. LVTS is a Canadian payment system used for large value settlements. LVTS accepts MT 103 and MT 205. The LVTS messages need to have a user header in the message header. Following is the format of the user header:{3:{103: CAD} {108:< Tranche No>}}

In MT 103 & 205 messages field 103 should always contain CAD and field 108 should have the tranche number used for the payment. LVTS payments can be in Tranche 1 or 2 or R. Tranche 2 is by default. If Tranche needs to be changed for a payment message, then it will be changed manually before releasing the payment message in SWIFT alliance.

The presence of the user header in the message enables Y-copy supported by SWIFT. The following diagram illustrates the flow of payment messages between two LVTS members:

Figure 3-1 SWIFT

• MT 103 – Customer Payment Message
• MT 205 – Inter-Bank Payment Message
• MT 096 – Partial message sent to LVTS by SWIFT
• MT 097 – Message from LVTS to SWIFT containing the payment
• MT 012 – Acceptance notice sent to sender
• MT 019 – Reject notice sent to sender