The introduction of real-time payment networks, like the Federal Reserve’s FedNow and The Clearing House Payment Company’s RTP, has been touted as a significant advancement in payment processing — and rightfully so. The ability to make payments in real-time is a feature that consumers and small and medium businesses increasingly see as mere table stakes.
These networks give banks a way to enable faster, more efficient payments that may very well present subsequent opportunities for growth and innovation that could help them compete with the payment apps, digital banks and biller direct sites that have been eating into their bottom line. As Douglas Brown, president of NCR Digital Banking, points out, “Real-time payments offer a unique opportunity for community banks to innovate and differentiate themselves from their competitors.”
