FedNow and Technology Vendors: Setting the Foundation for Future Payments

The implementation of the FedNow instant payment system represents more than just an opportunity for financial institutions to ponder use cases and eventual applications. It is nothing less than a chance to rethink FIs’ payment systems entirely, as well as to consider which technology providers should come along on the journey. This is especially true for smaller institutions, which can leverage the advent of FedNow to create better payment experiences for customers and take a first step toward payment modernization. 

FIs of all sizes are going to need partners well-versed not just in FedNow but also in regulatory and compliance issues, with enough nimbleness to adjust to FedNow’s inevitable evolution. This Javelin Strategy & Research report lays out the considerations financial institutions must examine as they rethink payments in a real-time era and make important choices about the partnerships they will forge. 

Key questions discussed in this report:

• How will FedNow affect the future of payment technology? 
• Why is the selection of a technology vendor by FIs so important when they connect to FedNow? 
• What should FIs think about in choosing a FedNow tech vendor?

Companies Mentioned:

ACI Worldwide Corp., Alacriti, Aptys Solutions, BNY Mellon, CGI, CSI, ECS Fin Inc., Finastra, FinTech Automation, Finzly, FIS, Fiserv Solutions, LLC, Form3, FPS GOLD, IBT Apps, Jack Henry, Juniper Payments, a PSCU Company, Open Payment Network, Pidgin, Inc., SHAZAM, Temenos, Payfinia, A Tyfone Company, Vertifi Software, LLC, Visa, Volante TechnologiesCompany