B2B’s Participation Could Be Key To Driving Real-Time Payments

The U.S. may lag in real-time payments adoption, but that could soon change — so long as corporates embrace real-time rails for B2B payments. This week’s Payment Rails Innovation Tracker looks at new efforts to drive real-time adoption, plus explores the latest efforts to embrace a mix of payment infrastructure to optimize the movement of funds.

ACI Worldwide Anticipates A U.S. Real-Time Surge

The U.S. may be the underdog in terms of real-time payments adoption, but that won’t be for long, according to ACI Worldwide Head of Real-Time Payments Craig Ramsey. But, as he told PYMNTS, corporate engagement will be essential to accelerating real-time rollouts. “Though P2P payments currently dominate, B2B payments still have a long way to go before they leverage real-time payments to the extent that’s possible even today. FedNow will give the B2B space an extra boost,” Ramsey stated.

Vital to supporting a real-time ecosystem are, of course, the payment rails that can facilitate real-time payments. Strengthening existing rails to support movement of richer transaction data through the adoption of standards like ISO 20022 can be valuable too. “The real-time rails, the domestic schemes that are being stood up right now … well, those are the rails,” Ramsey said. “And those are critically important, but ultimately it’s what you do with those rails that matters. So those innovations are happening on top of the rails.”

Nacha Launches New ACH Data Security Rules

New rules went into effect last week from Nacha that aim to safeguard ACH transaction data, and businesses that initiate payments must pay attention. For ACH originators and their payment processors, ACH data must be rendered unreadable when stored electronically to help mitigate against the risk of data theft. The rules apply to “large, non-FI [financial institution] Originators, Third-Party Service Providers (TPSPs) and Third-Party Senders (TPSs),” NACHA said in its announcement, noting that a second phase of the data security rule rollout will apply to entities processing a lower volume of ACH transactions.

Tribe Payments Taps ClearBank’s Payment Rail Access

U.K. FinTech Tribe Payments has announced an agreement with ClearBank that will enable Tribe’s FinTech clients access to a variety of payment rails via ClearBank’s Banking-as-a-Service (BaaS) offering. Targeting Tribe’s Bank Connect solution, the collaboration enables third-party FinTechs to loop into infrastructure including Faster Payments, BACs, CHAPS and Direct Debit for their own offerings. “These systems and rails were once the preserve of the few, but our partnership with Tribe means that more service providers can now utilise the payments schemes they need to drive innovation and competition in the market,” said ClearBank Chief Customer Officer Simon Jones in a statement.

Zūm Rails Boasts Security Controls

Payments technology firm Zūm Rails recently announced that it has achieved SOC 2 compliance, a reflection of its internal security controls to promote security and privacy. The company offers businesses a payment gateway and rails to loop into a variety of payment infrastructures, including the card networks, electronic funds transfer, Visa Direct and more. “Zūm Rails views security as the foundation upon which our solution is built and upon which trust with our customers is earned and maintained,” the firm’s Chief Technology Officer Marcel Ferreira said in a statement.

ZW Data, VCan Link For Blockchain Cross-Border Payments

Digital marketing and analytics firm ZW Data is stepping into the world of cross-border B2B payments through a new collaboration with VCan Fintech, and the partners are eyeing blockchain infrastructure to facilitate the solution. In their announcement, the firms said they are working together to develop a cross-border B2B payments solution that integrates a range of infrastructure including banks, cards and PayPal, using the blockchain to move funds across borders and provide businesses with payment data analysis, using VCan’s licenses in Hong Kong, the U.S., U.K. and elsewhere.