PAYMENTS Blog

Faster Push Payments: Are Corporates Really Digging Them?

Posted by Shanon Murray on Feb 27, 2018 12:00:23 PM
Shanon Murray

Same-Day-ACH-Corporate-Survey-February-2018.pngFor all of the debate around faster payments and if businesses – large and small – see the value in them, will use them, etc., the answer is finally becoming clear: Yes.

Yes, corporates see value in faster payments and the new opportunities they can provide. And, yes, corporates will use them. In fact, they are already doing so. According to a study conducted by PYMNTS.com in collaboration with NACHA on corporate use of and demand for Same Day ACH, a new faster payments option, nearly 50 percent of corporates are currently using same-day credits or push payments.

Corporates are using same-day push payments for a variety of uses, including account-to-account transfers, business-to-business payments, as well as regular payroll. And the numbers will only continue to grow, as corporates predict that use of Same Day ACH credits will nearly double for almost every use case by the end of 2018.

But what about the 50 percent of corporates not using same-day push payments? Does that figure support the notion that faster payments are not necessary in the corporate payments setting? Well, not really. According to the study, 15 percent of corporates indicated they were not aware of the Same Day ACH credit option. Thirteen percent indicated that their current systems could not support same-day credits. Only 26 percent of corporates indicated that speed was not a necessity for them. That leaves an overwhelming majority of businesses with some need and desire for faster transactions.

But why Same Day ACH credits or push payments? Why not another faster payments option? It comes down to speed, convenience and security. Thirty percent of corporations like the quickness of Same Day ACH credit payments. Twenty percent appreciate the convenience it offers. And another 16 percent enjoy the enhanced security it provides. And, as such, it is no surprise that the study shows that Same Day ACH credits will ultimately be used to replace the time-intensive, more fraud-prone payment types such as checks.

Still not sure the case has been made that corporates are finding value in faster push payments? You don’t have to take the word of just one study. Corporates and faster payments will be discussed at length at PAYMENTS 2018.

Consider attending and participating in #KilltheCheck: The Rise of Push Payments, a session exploring the basics of push payments technology, current and future use cases, the state of adoption within various industries, and best practices for deployment.

Or Transferring Business to Faster Payments, a session providing practical ideas on how to evaluate the faster payments landscape through a real-life case study. Or even Faster Payments: Implementation Considerations for Corporates in a Large Global Context, a session addressing the challenges, benefits and perspectives of the corporate cash management market.

Without a doubt, PAYMENTS will provide you with an opportunity to learn from experts; hear findings from other studies and surveys; discuss trends; and explore new concepts, as well as those that have stood the test of time.

While this blog post clearly lands on the side of corporates valuing faster payments, and in particular push payments, you will have the opportunity to form your own conclusion. Get the facts at PAYMENTS 2018, the definitive destination for faster payments education.

Register today before early rates expire on Friday, March 2. 

Tags: Payments 2018

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