With the Same Day ACH Phase 1 launch set for Sept. 23, businesses, banks and tech providers are all ramping up preparations to join the high-speed Network. As the movement toward faster payments enters its eleventh hour, many players are adopting solutions and forging FinTech partnerships to support them through the transition.
In recent headlines this trend has been clear. BNY Mellon announced it will be using the clearXchange network for its treasury services clients, making it the first bank to do so. Chase also launched a partnership with clearXchange, and will use the network to enable P2P payments via Chase QuickPay. Blockchain startup Ripple announced partnerships with seven banks, many of which are currently considering deployment strategies, according to Ripple CEO Chris Larsen.
In addition to these (and more) news stories, July’s Faster Payments Tracker also features an interview with Treasury Software Director Glenn Fromer about the many moving pieces that are coming together for the September launch of Same Day ACH.
Here’s a preview:
Fromer’s in-depth knowledge of the ACH Network supports his belief that the Network brings benefits to businesses of all sizes. His clientele ranges from mom-and-pop shops to Fortune 500 companies, but his goal remains the same across the board: to help bring businesses into the future of faster payments.
“One of our core beliefs is that it shouldn’t matter how big or small of a company you are, you should have access to the ACH Network,” Fromer said. “So, we want to make sure everyone has equal access.”
Aside from the obvious benefit – being able to pay and receive funds faster – there are an abundance of reasons why companies want access to Same Day ACH. For small businesses, which often perform accounting actions manually, automating payments through Same Day ACH can reduce the risk of fraud and error, explained Fromer. Additionally, Same Day ACH is expected to streamline processes in states that require businesses to pay terminated workers on the same day they’re let go.
To download the July edition of the PYMNTS.com Faster Payments Tracker™, powered by NACHA, click the button below.
About The Tracker
The PYMNTS Faster Payments Tracker™, powered by NACHA, is your go-to resource for staying up to date on a month-by-month basis. The tracker highlights the contribution of different stakeholders, including institutions and technology coming together to make this happen.