What is Wise bank's fee split function, and how does it affect transaction handling?
The fee split function, implemented by the bank effective from 28th February 2024, segregates fees from the original transactions. This means that fees are represented as separate entries, while the original transaction amount is adjusted accordingly. This creates transparency in fee calculations but may lead to discrepancies in reporting, particularly for transactions extracted before the feature was enabled.
Are there discrepancies in fee reporting for credit and debit transactions?
Discrepancies may arise due to differences in how fees are reported for credit and debit transactions. While credit transactions accurately reflect the net amount received by the user's account in the "Amount" field and the fee in the "ChargeAmount"field, debit transactions combine both the debited amount and the fee in the "Amount" field, leading to confusion during reconciliation.
What is the bank's recommendation for TPPs to maintain data accuracy?
Wise bank recommends that TPPs using their APIs ensure to remove transactions from their end that no longer appear in the data returned by the bank. This proactive measure helps prevent duplicates and ensures data accuracy.
Will there be future updates to address this discrepancy?
Wise has expressed willingness to consider adjustments to the fee reporting logic in future updates but has not prioritised it for immediate resolution. They emphasise the importance of TPPs ensuring data accuracy on their end to prevent duplicates and maintain integrity.
Where can I find more information about this fee split feature?
For further technical details on this feature, please refer to our Technical Bulletin TB-1262.