On-Us Item Banking: What Australians Need to Know in 2025

In the world of banking, many terms fly under the radar until they impact your finances. One such term gaining fresh relevance in 2025 is the ‘on-us item’. As digital transactions and instant payments become the new norm across Australia, understanding what on-us items are—and how they shape your banking experience—can help you manage your money smarter.

What Is an On-Us Item in Banking?

At its core, an on-us item is a cheque, payment, or transaction processed by the same financial institution where it was issued and where it’s being deposited or cleared. For example, if you deposit a Westpac cheque into your Westpac account, that’s an on-us item. In contrast, an ‘off-us’ item would involve two different banks.

While the concept may sound technical, it has real implications for how quickly your money moves and what fees you might face. In 2025, as Australian banks race to enhance real-time payment infrastructure, the distinction between on-us and off-us items is taking on new significance:

• Instant clearing: On-us items are often cleared instantly or within the same day, making your funds available sooner.

• Lower risk of delay: Since the transaction doesn’t leave the bank’s internal system, there are fewer interbank delays or errors.

• Fee differences: Some banks may waive processing fees for on-us transactions, while charging for off-us items, especially for business or bulk payments.

Why On-Us Items Matter More in 2025

The Australian banking landscape is evolving rapidly, driven by the New Payments Platform (NPP), Open Banking, and a wave of digital wallet adoption. Here’s why on-us items are taking centre stage this year:

• Faster Payments: With the Reserve Bank of Australia (RBA) encouraging instant settlement, banks are prioritising on-us item processing as part of their promise for near real-time banking.

• Business Efficiencies: For Australian businesses, paying staff or suppliers who bank with the same institution can mean instant payroll or supplier payments, improving cash flow and reducing reconciliation headaches.

• Security and Fraud: Internal bank monitoring makes it easier to flag suspicious activity quickly on on-us items, providing an extra layer of protection for customers.

For example, major banks like CBA, NAB, and Westpac are now advertising ‘same-bank’ transfers as instant, while off-us payments may still incur a wait—especially outside business hours or with larger amounts.

Real-World Scenarios: How On-Us Items Influence Your Finances

To see the impact of on-us items in action, consider these everyday Australian scenarios in 2025:

• Pay Day: If your employer and you both bank with ANZ, your salary lands instantly thanks to on-us item processing. If you bank elsewhere, you may wait a business day.

• Property Settlements: Lawyers and conveyancers now prefer on-us bank cheques or transfers for same-day settlements, reducing the risk of funds not clearing in time for key handover.

• Peer-to-Peer Payments: Sending money to friends on the same bank app? That’s an on-us item, and it’s typically instant—great for splitting bills or emergencies.

For businesses, on-us bulk payments can mean lower transaction costs and improved supplier relationships. Several banks offer tiered pricing, with significant discounts or waived fees for on-us direct debits or payroll batches—a trend that’s accelerated in 2025 as competition heats up.

Policy Updates and the Future of On-Us Items

With the RBA’s continued push for open banking and the phasing out of cheques by 2027, on-us item processing is evolving. In 2025, several banks have announced expanded on-us payment features for digital wallets, BPAY, and business APIs. For instance:

• ANZ’s digital platform now flags on-us items for business users, showing estimated instant clearance times.

• CBA’s CommBiz service offers fee-free on-us payroll for enterprise clients.

• Macquarie Bank is piloting on-us instant transfers for property settlements, part of the government’s digital conveyancing initiative.

These innovations are making on-us items more transparent and valuable, both for everyday Australians and the businesses that serve them.

Key Takeaways: Making On-Us Items Work for You

• Whenever possible, use on-us transfers for faster, cheaper banking—especially for high-value or time-sensitive payments.

• Check your bank’s 2025 fee schedule: many now differentiate on-us and off-us pricing for business and bulk payments.

• Watch for new features in your banking app that highlight on-us item benefits, such as instant clearing and reduced fees.

Understanding on-us items can help you move your money smarter, avoid unnecessary delays, and even negotiate better terms with suppliers or clients.