OTTAWA, ON, March 2, 2021 – Payments Canada announced today the selection of Interac Corp. as the exchange solution provider for Canada’s real-time payments system, the Real-Time Rail (RTR). This announcement follows a selection process that included participation from the Bank of Canada.
The exchange solution provided by Interac will allow Payments Canada members participating in the RTR to send and receive RTR payment messages. The partnership will leverage Interac’s existing infrastructure in Canada’s payment ecosystem and its existing connectivity to nearly 300 financial institutions. To enable the settlement of RTR payments in real-time, the exchange solution will interface with the clearing and settlement solution being provided by Mastercard’s Vocalink.
“Interac is a well-suited partner to support the launch and ongoing operations of Canada’s new real-time payments system. They have made significant investments in infrastructure and services and, with connectivity to almost 300 financial institutions in Canada, will be able to support the rapid adoption of real-time payments in Canada,” said Tracey Black, President and CEO of Payments Canada. “The Real-Time Rail will be the foundation for faster, data-rich payments and act as a platform for innovation. Participants in the payment system will be able to connect and develop new and exciting ways for Canadians to pay for goods and services, transfer money and better compete nationally and internationally.”
Operated by Payments Canada and regulated by the Bank of Canada, the RTR will allow Canadians to initiate payments and receive irrevocable funds in seconds, 24/7/365. Leveraging the ISO 20022 data standard, the system will support payment information traveling with every payment. The RTR is expected to launch in 2022.
“Working with Payments Canada to support the build of the Real-Time Rail represents a significant opportunity to enable consumers and businesses to take full advantage of digital payment solutions and foster increased innovation and efficiency,” said Mark O’Connell, President & CEO of Interac Corp. “Interac has been at the heart of Canadian payments for more than three decades and we are excited to expand this role and continue serving as a trusted connection point for Canadians when paying or moving their money and data.”
Interac will leverage the technology behind the Interac e-Transfer service, currently used by millions of Canadians every day, in building the exchange solution for the RTR. This includes support for the ISO 20022 messaging standard, as well as compliance with the Bank of Canada‘s risk management standards for prominent payment systems.
The RTR is a fundamental part of Payments Canada’s multi-year industry program to modernize the infrastructure, rules and standards that underpin payments in Canada. To learn more about the Modernization program, visit payments.ca/modernization and subscribe to our newsletter, The Exchange.
