The RTP Network, the instant payments system operated by The Clearing House (TCH) that is available to all insured depository financial institutions nationwide, surpassed the 1 million daily payment milestone on Sept. 1.
According to TCH, the network plays host to more than 60 million transactions each quarter, with volume increasing as more financial institutions begin to make use of its features.
“As more banks and credit unions join the RTP network, their customers and members are experiencing the benefits of real-time payments,” Rusiru Gunasena, senior vice president of RTP product management at The Clearing House, said in a release. “Surpassing 1 million RTP payments on a single day signifies the accelerating growth and demand for real-time payments on the RTP network in the United States.”
Some common use cases on the RTP Network include:
- Title Insurance/Mortgage Closing: Agent commissions, inspections fees, last-minute payment adjustments and any payments related to the real-estate mortgage closing process can be made instantly via RTP;
- Earned Wage Access (EWA) and Gig Worker Payments: EWA and real-time payroll are the fastest-growing use case on the network. Workers can receive their pay before their scheduled pay day or on the same day that they work, providing immediate liquidity to workers.;
- Account to Account (A2A): Customers can use real-time payments over the RTP network so they can transfer money, for example, from a bank account to their investment account at another financial institution;
- Digital Wallets: The most popular use case on the RTP network. With real-time payments, consumers can instantly move funds from a digital wallet to their bank account and are able to use the money immediately;
- Merchant Funding: More businesses are opting to receive merchant payments from that day’s transactions through the RTP network, helping to solve cash-flow concerns;
- Transportation/Tolls: When the account for an electronic tolling device needs additional funds, tolling providers are using real-time payments from the account holder to keep the account in good standing; and
- Auto Sales: Sending payment for a new or used auto sale is simplified with the RTP network, which is available on weekends when many auto purchases are completed.