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ISO 20022 is a flexible standard for financial messages that enables interoperability between financial institutions, market infrastructures and the Banks' customers.

ISO 20022-formatted addresses have discrete elements for specific address information. This makes it easier to identify individual address components, such as the street name, building number, state or country, as well as a specific department within an organization.

The naming conventions for the ISO 20022 messages are based on a format of X. AAA.BBB.CC. So the relevant business domain is identifiable within the message type designation, and those who work in financial services messaging have a new set of terminology to learn.

The pacs. 002 message – known as the Status Report message – is sent by an instructed agent to the previous party in the payment chain. It is used to inform this party about the positive or negative outcome of a payment instruction. It is also used to report on a pending instruction.

The pacs messages are for use in the bank-to-bank processing space, and have been designated mandatory by the EPC and they must be used by all SEPA participants. The pain messages are recommended for use in the customer-to-bank space.

The items in the Catalogue can be classified in three categories: Business Areas, Message Definitions and ISO 20022 Syntax Message Scheme. Business Area: Set of strongly related business activities, that provide a self-standing business value to a set of Business Participants.