US Instant Payments: A Catalyst for Growing Commercial Payments and Banking

This report, sponsored by Volante Technologies, reviews the challenges and benefits associated with financial institutions’ adoption of real-time payments in the United States given the increased options that are now available. This research report was independently produced by Javelin Strategy & Research. Javelin Strategy & Research maintains independence in data collection, findings, and analysis. 

Real-time payments have been available to U.S. financial institutions since 2017 with the launch of the RTP network by The Clearing House. FedNow, the Federal Reserve instant payments network, launched in July 2023, providing another option for FIs to offer capabilities to meet the growing demand for modernized commercial payments products. The focus in the commercial sector has been on account-to-account instant payments, and Javelin Strategy & Research views this as a key area for banks’ ongoing revenue growth in payments. This research paper discusses the current state of instant payments, reviews commercial use cases, and details the benefits and challenges associated with various options for launching this latest payment instrument.