Software vendor Aptys Solutions LLC has upgraded a program to make it easier for banks to use the Federal Reserve’s same-day settlement service for automated clearinghouse payments.
Aptys recently added the ability to handle ACH payments to its PayLogics platform. In doing so, it added features that will help banks identify the type of ACH transactions that can be settled the same day under the FedACH service.
Despite arguing for faster clearing of ACH payments, banks have been slow to adopt the Fed’s service since it became available in August because of the program’s limitations (
“All of those issues will create some hurdles for this program to get going,” Eric Dotson, an executive vice president of sales at Aptys, said in a July 18 interview. “One of the things we wanted to do with our [service] is to eliminate the technology issue for the masses of community financial institutions that are out there.”
The upgrades that the Rockwall, Texas-based vendor made to PayLogics will help flag which transactions qualify for same-day settlement and determine if the they are eligible based on whether the receiving bank has enrolled in the service.
Aptys’ PayLogics platform, which went live in May, is marketed to correspondent or bankers’ banks, which can use it to help process payments and exchange check images for smaller community banks, Dotson said.
Aptys’ customers are Bankers’ Bank, a subsidiary of Bankers Bancorporation Inc. in Madison, Wis., and Bridge Community Bank in Mechanicsville, Iowa, which uses the platform as part of a pilot with NACHA, the electronic payments association.
Fiserv Inc. said last month that it was upgrading its PEP+ software platform to help banks identify which ACH payment transactions qualified for same-day settlement (
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