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Payments and markets glossary

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O

offline card transaction
A card transaction which is authorised without contacting the issuer at the time of the transaction. Antonym:
online card transaction
online card transaction
A card transaction which is authorised following explicit approval by the issuer at the time of the transaction. Antonym:
offline card transaction
operated direct link
A direct link between two central securities depositories (CSDs) where a third party, typically a custodian bank, operates the account in the issuer CSD on behalf of the investor CSD. See also
direct link
optimisation routine
A procedure determining the order in which transfer orders are to be processed and settled in a transfer system in order to increase settlement efficiency. See also
chaining
queue management
OTC
over-the-counter
OTC (over-the-counter) trading
A method of trading that does not involve a regulated market. In over-the-counter markets, participants trade directly with each other, typically through telephone or computer links.
oversight of payment systems
A typical central bank function whereby the objectives of safety and efficiency are promoted by monitoring existing and planned systems, assessing them against the applicable standards and principles whenever possible and, where necessary, fostering change. Oversight activities increasingly relate also to securities clearing and settlement systems.