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Data for today’s episode is provided by Mercator Advisory Group’s Viewpoint: Monetizing Real-Time Payments
Consumers Do Not Want to Pay a Fee for Instant Money Transfers:
- Consumer payers often already consider payments to be immediate if they are credited in the eyes of the biller.
- 54% of consumers would not be willing to pay a fee to send funds internationally in real time.
- 64% of consumers would not be willing to pay a fee to pay bills in real time.
- 71% of consumers would not be willing to pay a fee to receive insurance claims in real time.
- 65% of consumers would not be willing to pay a fee to send or receive money to/from a checking account in real time.
U.S. payments industry participants are largely in agreement that faster and real-time payments are part of the industry’s evolution. While integration projects to prepare for these new payment types are moving forward with only the slightest consideration of a real business case, the search is still on to look for those use cases where value can be provided and customers will be willing to pay for the benefits.
In this Viewpoint, we consider the use cases where faster payments are generating revenue for providers today and the solutions that are likely to be profitable in the future.