From Banking to Fintech: The Evolution of Instant Payments

Cory Barnes, Senior Product Manager, Form3

Next steps for instant payments

There has never been a more exciting time in the world of Instant Payments and there is tremendous buzz in the industry that confirms that excitement. Even for banks and financial institutions that have not yet made the decision to implement instant payments, it’s at least on their roadmap or discussions are taking place.

The rollout of FedNow last year has further expedited the growth and pace of change we are seeing with instant payments and the expectation is that 2024 will be another big year for continued momentum.

What it’s like building instant payments products for a fintech vs. for a bank

I made the change in May of 2023 to pivot from nearly 19 years of building digital products in the banking industry to coming on board to aide a Fintech’s expansion into the U.S. market.  What a change this has been on so many fronts. I am asked often what it’s like. At the highest level, it’s been an incredible change for me personally. The people I work with at Form3 are amazing and the technology and mission of the company is just as impressive.

There are several differences. From the overall way/style of working to being aligned to a specific focus vs. multiple, and sometimes, conflicting priorities. Form3 is a payments focused business and has led the faster payments industry in the UK and expansion into Europe over the last eight years. 

Additionally, they are fantastic at providing seamless integration to payment rails with the best technology in the business. That pales in comparison to the banking industry where prioritization is key, funding is generally hard to acquire, and resources are shared across multiple workstreams. 

Finally, one of the biggest changes for me has been to reprogram my brain from thinking about how products are built to add value for end-users (customers of the bank) vs. the needs of the bank itself, which is what we have built at Form3. It has certainly given me a unique perspective to have both viewpoints within my experience, but turning one off and the other on when needed has certainly been an adjustment. 

All in all, I’m thrilled to have come on board with a company that is forward thinking and industry leading. Both in our approach to technology, but also the business of payments. This company will be a pivotal player in “designing, building, and running the technology that powers the future of payments.”

How to stay connected in the industry

One of the things I’m encouraging everyone I speak with, whether internally or externally, at various conferences, etc. is to stay connected. Ending where I began, there is truly a lot of buzz in the industry, and I believe that instant payments will continue to be a big focus for organizations of any size. 

There are several ways to stay connected. From industry groups and conferences, such as the Faster Payments Council and specifically the opportunity to participate in various workgroups to add even more value, to informational whitepapers and projections from many trusted partners.

Personally, I’m a part of the Directory Models Work Group where we’ve had some fantastic research and discovery completed from industry partners to confirm what directories are in place today, the need for directories and the potential value they could provide to instant payments.

Very exciting times ahead for instant payments in the US, and eventually beyond. I encourage everyone to stay informed, get connected and continue exploring how this offering can augment and enhance your payments strategy.


Go Back