BPS facilitates brokerage payments to filling brokers by member firms via automatic debits to member firms' bank accounts. This system eliminates the costly labor-intensive task of preparing and distributing monthly checks to brokers and assures timely brokerage payments.

Daily and monthly reports and data files are produced for each firm, which details the executed trades, volume, and rate applied to each trade. Monthly banking reports are produced for both the brokers and firms. All members and member firms are required to use BPS for broker billing and payment.

Processing Overview
At the end of each trading day, all trade records are processed through BPS. BPS tries to match each trade against a firm-entered rate. The rates entered by the firm can be specified as one of the following:

• by account,
• by broker,
• by commodity,
• by default rate.

As trade records are corrected or later given-up in the clearing system, BPS adjusts the charges. At the end of each month, preliminary reports are produced to show the trading activity for that month, and the amount of money that will be debited from the firms accounts and credited to the brokers accounts.

Firms have three banking business days to make adjustments to either the trading activity in BPS, or to the payment that will be made. Adjustments to trading activity might be necessary if a trade cleared with an incorrect broker symbol. Firms also have the ability to withhold payment for a month if major discrepancies exist.

At the end of the three banking business days, final monthly reports are produced, reflecting any firm-made adjustments. The banking reports reflect the amount of funds that the firm should make available for transfer. Additionally, the brokers banking statements detail the amount of money to be transferred into their accounts on a per firm basis.

New Firm Requirements

• Complete and submit banking information (including a voided check) to the CME® Membership and Registration Department before they are recognized by BPS.
• Complete and sign Online Security Access Forms. This gives firms ability to set rates and make changes to trading activity online.
• Set rates prior to 7:00 p.m. on their first trading day to avoid having to manually calculate brokerage owed.

Broker Requirements

• Complete and submit banking information (including a voided check) to the CME Membership and Registration Department before they are recognized by BPS.

CME Monthly Banking Cycle

• BPS Broker Reports and Fee Deposits Calendar (PDF)