There is an interesting trend taking place where payments are being offered to recipients on a daily basis. I’m thinking of examples like:
- The option for employees to get paid every day or in the so-called gig and sharing economies, after every job or event.
- Yesterday, Apple and bank issuer Goldman Sachs introduced a rewards credit card where the rewards are provided back to cardholders on a daily basis.
- Today, there was an announcement that T-Mobile and Tsys are partnering on a merchant services solution that offers merchant deposits same day.
Others have done this before including Square who offers same day merchant deposits for a 1% fee. The T-Mobile solution offers this as a standard feature. This from T-Mobile’s press release:
T-Mobile is putting Square and Clover on notice With GoPoint by T-Mobile for Business, a new mobile Point of Sale (mPOS) solution offering free same-day funding and no software licensing fees, businesses get their hard-earned money faster and don’t have to worry about surprise fees. And in true Un-carrier fashion, GoPoint provides 24/7 live technical support with no hoops to jump through to talk to a real person. The Un-carrier also announced T-Mobile for Business Marketplace, providing businesses with a suite of affordable, business-critical mobile device management (MDM) and productivity software.
“T-Mobile is on a mission to eliminate pain points for consumers and businesses alike. When we looked at the insidious practices and never-ending fees mobile point-of-sale providers charge small businesses we knew the Un-carrier needed to step in,” said Mike Katz, Executive Vice President of T-Mobile for Business. “Not surprisingly, paying fees on top of fees and waiting days for their hard-earned money is a big pain point, particularly for small businesses. That’s why the Un-carrier is doing payments differently – with free same-day funding, no software licensing fees and 24/7 live support from real people.”
As faster and real-time payments start to evolve, I suspect this trend will only grow. This is a great trend for consumers and businesses on the receiving end. Let’s hope it doesn’t extend to “Daily Deducts”, where we would have to pay bills and taxes and other expenses on a daily basis.
Overview by Sarah Grotta, Debit and Alternative Products Advisory Service at Mercator Advisory Group
