Payments account for as much as a third of commercial bank revenue, and that makes one message clear: The payments business is directly influential to the bottom line. Proactive banks recognize the need to address payments convergence, which involves adopting an enterprise perspective on payments processes. With a seamless, integrated view of payment information, banks can consolidate retail, corporate and small business channels to execute strategies faster and deliver flexible, competitively priced payments services with greater efficiency and less risk.

Customers are becoming comfortable with a broad array of payments methods, including: ACH, cash, check, contactless card, credit card, debit card, e-check, PayPal, purchase card and stored-value card. This means financial institutions face increased competition to be the customer's payment method of choice, need to maintain and/or improve customer satisfaction in order to retain accounts and safeguard the associated revenue. With all key stakeholders within the bank working to create new payments products and promotions, financial institutions have a better chance of warding off the competitive threat and holding their ground - perhaps even growing - their payments business.

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