Faster payments

As the banking industry moves closer to adopting a faster payments system, bank executives have begun to think through the impact it will have on clients and banks themselves.

New payments systems will allow everyday financial tasks such as paying bills, issuing invoices, making payroll, or settling insurance claims to be easier, faster, safer, and more efficient, writes Jim Aramanda, president and CEO of The Clearing House Association and Payments Company.

In the U.S., Visa Direct has emerged as one of the few go-to tools for fast payments in a market that is overdue for such options. The product's true test begins now, as Visa launches it in Europe, where faster payments options are far more plentiful.

The bank consortium is going directly after the business of its former partner Ripple in the middle of their legal battle over an option for digital currency worth $1 billion.

The gig economy is one of the most demanding business sectors in terms of technology, speed and security. All of these factors play into how these companies handle payments.

The Federal Reserve Board governor sketched out a future in which U.S. banks remain at the center of commercial transactions.

The first round of data is in following the Sept. 15 launch of same-day ACH debit payments, providing a snapshot of what Nacha expects will be a growing channel.

The Society for Worldwide Interbank Financial Telecommunication says its Global Payments Innovation service surpassed two million cross-border payments during September.

Same-day ACH debits rolled out last month, a year after same-day credits, cutting processing time for these payments from a couple of days to a few hours — but for many emerging use cases, that’s not fast enough. And debit is filling the void.

Most financial institutions use outdated legacy systems that are siloed by factors such as lines of business and geography, writes Suresh Ramamurthi, chairman and CTO of CBW Bank.