Consumers Demanding Faster Payments

FRBservices has reported U.S. consumers are seeking faster payments in more areas of their increasingly on-demand lives, with four out of five saying they are interested in faster options to pay businesses, according to a survey released recently by the Federal Reserve Banks. About 70% of those completing the survey say having access to enhanced faster payment capabilities from their financial institution(s) is an important satisfaction driver.

With instant payments, which are a type of faster payments, a payee’s account is credited within seconds of payment initiation, enabling them to have immediate access to funds and allowing payers to know exactly when their money has reached its destination. This can ease the concern of late fees and gives them the ability to pay bills exactly when they are due.