Real-Time Payments: Use Cases in Acquiring

New technology grabs headlines as we dream, imagine, and predict how the latest discovery or invention will change our world. That is certainly the case with the new real-time, 24/7 payment rails available from The Clearing House’s RTP and the Federal Reserve’s FedNow platforms. 

Float, or the time between when money is sent and when it is received, was once a significant cost or benefit to a business, depending on which side of the payment it was on. Electronic payments have virtually eliminated float in banking, but do these new real-time payment rails offer significant incremental efficiency in merchant processing and acquiring? In this report, Javelin assesses the landscape, with a focus on use cases, hurdles to adoption, and what the future holds for faster payments in acquiring. 

Key questions discussed in this Merchant Payments report:

• What are real-time payments and what is their role in merchant payments?
• What are the use cases in acquiring for faster payments, if any?
• What is the outlook for payment service providers or processors to use faster payments in acquiring today?

Companies Mentioned:

Federal Reserve Bank, Mastercard, The Clearing House, Visa