May 7, 2024 – The U.S. Faster Payments Council (FPC), a membership organization devoted to advancing safe, easy-to-use faster payments in the United States, today published its latest report titled, Navigating Instant Recurring Payments: Consumer, Business, and Financial Institution Perspectives. This comprehensive needs assessment offers strategic insights into the implementation of instant recurring payments, focusing on the unique perspectives of consumers, businesses, and financial institutions.
Spearheaded by the FPC Real-Time Recurring Work Group (RTRWG), sponsored by BNY Mellon, the new report delves into key components essential for the successful deployment of instant recurring payments. It highlights the importance of features such as Request for Payment (RfP) and standing approval, providing a robust foundation for seamless and secure transactions in the dynamic landscape of instant payments.
"Instant recurring payments represent a significant evolution in the payments landscape, offering unprecedented speed, convenience, and security,” said Josh Karoly, Director of Payments at Netflix and FPC Real-Time Recurring Work Group Chair. “Our report aims to address the diverse needs and expectations of consumers, businesses, and financial institutions, laying the groundwork for widespread adoption and innovation."
The report outlines key considerations for stakeholders, including the ease of sign-up and use, support for notifications, flexibility in managing scheduled payments, and robust security measures. By addressing these critical areas, the RTRWG aims to pave the way for the broad adoption of instant recurring payments, benefiting consumers, businesses, and financial institutions alike.
"Bringing together various contributors was key to crafting an extensive roadmap for instant recurring payments,” said Andrew Gómez, Director at Lipis Advisors and Vice Chair of the Real-Time Recurring Work Group. “Through collaboration and research, our work group prioritized user-friendly features, flexible management options, and security measures. This report not only outlines the challenges but also offers modern solutions to create a streamlined and reliable process for all participants."
The report also highlights emerging trends and best practices in the realm of instant recurring payments, providing guidelines for businesses and financial institutions looking to leverage this innovative payment method. From strategic banking partnerships to seamless integration with existing systems, the report offers practical recommendations for stakeholders seeking to optimize the payment experience for their customers.
“Simplifying and streamlining digital payment standards will help drive increased adoption across the industry,” said Carl Slabicki, Executive Platform Owner for BNY Mellon Treasury Services. “We’re excited to collaborate on instant recurring payments guidelines to improve the overall experience for consumers, businesses, and financial institutions.”
"As the payments industry continues to evolve, it's crucial for stakeholders to stay ahead of the curve. This report from our Real-Time Recurring Work Group offers valuable insights into the future of instant recurring payments,” said FPC Executive Director Reed Luhtanen. “By leveraging the recommendations outlined in this report, businesses and financial institutions can position themselves as leaders in the rapidly changing payments landscape, driving innovation and enhancing customer experiences. For those reasons, the FPC urges all system participants to adopt the recommendations in this report."
The FPC prioritizes inclusion of diverse perspectives in tackling complex topics such as interoperability, identifying real-world solutions that can ease adoption of faster payments, managing security risks and fraud threats, addressing barriers to financial inclusion and cross-border payments, and more, as the organization paves the way toward a future of faster payments for all.
For more information on the FPC, its current work efforts or to join, visit FasterPaymentsCouncil.org.
Contact:
Elizabeth Grice
U.S. Faster Payments Council
720-737-7368
egrice@fasterpaymentscouncil.org
About the U.S. Faster Payments Council (FPC)
The FPC is an industry-led membership organization whose vision is a world-class payment system where Americans can safely and securely pay anyone, anywhere, at any time and with near-immediate funds availability. By design, the FPC encourages a diverse range of perspectives and is open to all stakeholders in the U.S. payment system. Guided by principles of fairness, inclusiveness, flexibility and transparency, the FPC uses collaborative, problem-solving approaches to resolve the issues that are inhibiting broad faster payments adoption in this country. For more information, please visit FasterPaymentsCouncil.org.