The Clearing House’s RTP® network, a real-time payments rail in the United States, is winding down the year on the back of two milestones.
The network set single-day records of 1.46 million transactions valued at $1.24 billion Nov. 1, according to a Tuesday (Nov. 12) news release. That followed an October in which the network recorded 31.7 million transactions — another record — valued at $25.4 billion, respective increases of 6.2% and 9% over September.
“It is exciting to see that the RTP network is supporting real-world payment needs of both consumers and businesses with almost half of payments happening after banking hours,” The Clearing House Chief Product Officer Margaret Weichert said in the release. “With the holiday season upon us, consumers can send money instantly to pay for gifts, holiday meals and other festivities, while small businesses can get paid in real time.”
Payment value on the RTP network is up 11.4% since July, with transaction volume climbing 12%, per the release.
The PYMNTS Intelligence report “Are Challenges Still Holding Back Instant Payments Adoption in the US?” found that 68% of businesses plan to adopt instant payments via RTP or the FedNow® Service in the next two years. It’s a level of enthusiasm that can be found in several industries, such as retail and consumer (81%), hospitality and leisure (75%) and healthcare (70%).
“Despite this momentum, traditional payment methods remain prevalent,” PYMNTS wrote in September. “According to the report, checks still account for 15% of B2B payments for retailers and manufacturers and 21% for real estate transactions. This persistence indicates that while the benefits of instant payments are acknowledged, full transition is still underway.”
Consumers also show a strong preference for using instant payments when given a chance, with 72% saying they would choose these payments when offered, a number that climbs to 77% for income payouts. And 62% of those not offered instant payments would have taken them if available, highlighting the demand for real-time solutions.
Real-time payments are growing in popularity around the globe with a series of innovations. Broadridge Financial Solutions, for example, launched last month a eurozone-focused Instant Payments Service for real-time money transfers using the Swift Alliance Gateway. In Brazil, payment services company EBANX is preparing merchants for the country’s upcoming Pix Automático feature.
