Modern Treasury announced it has expanded instant payments support for mutual customers of six large banks — Bank of America, Cross River, JPMorgan Chase, PNC Financial Services, U.S. Bank and Wells Fargo.
Instant payments use the FedNow service, developed and launched by the Federal Reserve in July 2023, and the RTP network, launched in 2017 by The Clearing House.
So far, over 1,000 banks and credit unions have signed on with either the RTP or FedNow networks, or both, and instant payment volume continues to grow.
“Money is moving swiftly toward a real-time future, and seeing customers use Modern Treasury to enable instant payments with some of the largest banks in the U.S. is a testament to the accelerating adoption of these exciting new payment rails,” Sam Aarons, Modern Treasury co-founder and chief technology officer, said in a release. “By making instant payments easier to access for our customers, we’re helping them deliver better customer experiences while enabling real-time insight into cash flow.”
Modern Treasury helps customers access instant payment capabilities by expanding support for these rails with banks. It enables a faster way to move funds than traditional ACH, wire or check.
“Real estate requires the ability to move money quickly, accurately, and securely. Instant payments fulfill all three of those requirements, enabling us to deliver faster brokerage payouts and escrow settlements, which can now occur 24/7/365, all while reducing transaction fees,” said Bob Taylor, vice president of centralized escrow accounting for Stewart Title, a Modern Treasury customer. “We fully expect this to become a competitive differentiator in our industry, and we’re pleased to lead the way.”
In addition to providing support for sending instant payments, Modern Treasury also supports the ability to access the Request for Payment (RFP) capability at a growing number of banks. As the adoption and coverage of RFP grows, customers can leverage it for faster, irrevocable, 24x7 pay-ins while also using it to address ACH’s insufficient funds risk.
Today, Modern Treasury’s customers move over $1 billion in instant payments volume annually.