The Clearing House RTP network is expanding the reach of real-time payments as financial institutions and businesses prepare for faster, more efficient transactions. Growing access to RTP, higher transaction limits, and new capabilities such as Request for Payment could make the network increasingly useful for both business and consumer payments.
Corporate interest in real-time payments is strong, but readiness remains a challenge. As RTP reaches more U.S. bank accounts and accommodates a larger share of business transactions, financial institutions will need to consider how these capabilities fit into their broader faster payments strategies.
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Data for today’s episode is provided by Mercator Advisory Group’s report – Business-to-Business Faster Payments: Market Review and Forecast 2018–2023
B2B Faster Payments Platform Updates: Part 2, TCH
- RTP by The Clearing House will reach 60% of US bank accounts by Q2 202067% of US corporates expect RTP to have a “high” or “very high” impact on their companies
- But only 42% of US corporates report they’ll be ready for RTP within the next year
- TCH will raise the transaction limit from $25K to $100K in 2020; enough to encompass 90% of US business payments
- TCH is implementing a Request for Pay (RfP) solution for Business to Consumer payments
- The benefit for billers will be a complete end to end processing with irrefutable payment
- Consumers benefit from a mobile bill-pay real-time solution to avoid late payment
About this report
The pace has increased in the march toward ubiquity. Financial institutions of all sizes should be actively delivering or planning to incorporate one or more of the existing faster payments solutions for clients as business interest rises