IBS Intelligence
Real-time Payments (RTPs) are payments that settle and clear quickly with the use of an underlying platform or network called a ‘payment rail.’ RTPs are made between bank accounts. RTP solutions are built on the connection between payee and payer and can be used by merchants of any size, consumers, and financial institutions to carry out payments to settle bills or transfer money with peers or customers.
ACI’s 2022 Prime Time for Real-Time report forecasts the annual volume of real-time transactions in the U.S. to reach 8.9 billion by 2026, up from 1.8 billion in 2021, representing a compound annual growth rate of 37%.
Real-time Payment solutions, in a way, are digital alternatives to immediate cash transactions, making payments available instantly across geographic time zones and borders. RTPs have been working as a transformative method for most businesses that need a fast, frictionless payment experience.
According to Visa, 80% of surveyed small businesses indicated improving cash flow as the top reason to adopt real-time payments for business disbursements.
Here are 5 companies at the forefront of Real-time Payments in the US: