Best Practices for Testing Payment Systems: A Focus on SWIFT, SEPA, and FED ISO Formats.

Abstract

Accelerated analysing and contemporary technology are used in this study to increase the security and effectiveness of the payment processing system. Determining and assessing the protection and performance advancements in biometric identification, AI, machine learning, & block chain technology are the main objectives. The main objectives include compliance integration, AI and ML technologies, automated testing frameworks, and simulation techniques to increase the reliability of systems and regulatory compliance. The paper uses case studies and a thorough literature research to synthesise different methodologies. System performance evaluation, vulnerability analysis, and operational resilience optimisation all depend on simulation. Through adherence to regulatory standards, compliant testing techniques safeguard money transactions and consumer trust. In conclusion, pricing and competitors, particularly inside the Single Euro Payment Area (SEPA), will essentially replace the correspondent model with direct infrastructure use, albeit at no lower cost. This is the third & most persuasive point. Perhaps the worst-case scenario would be that.As more and more financial institutions use ISO 20022, a unified communications standard for such systems, extensive testing becomes essential to reducing risks such as fraud, inconsistent data, or regulatory framework non-compliance The recommended methods for testing systems of payment in the FED ISO, SEPA, and SWIFT formats are described in this document. The verification of message structure, integrity of information testing, performance benchmarking, testing for security, and guaranteeing conformity with international standards are important areas of emphasis. This article will illustrate the value of coordinated testing strategies through real-world examples, offering financial organisations an organised method to ensure effective and compliant processing of payments.