Most consumers and businesses have experienced the frustration of payment delays. They’re common occurrences, after all. Yet they can cause more than just temporary annoyance.
Take the case of an employee whose payroll deposit doesn’t finalize on time and bills are due. Or a startup owner waiting for a new client’s money to clear to begin buying supplies for a project. Even waiting a few days could make it tough to meet the agreed-upon final product delivery deadline.
The answer to these problems is real-time payments that happen instantaneously. According to recent research, approximately nine out of every 10 companies are interested in real-time payments. Unfortunately, being able to transfer money in real time hasn’t worked as well in practice as in theory. To be fair, plenty of providers have tried to offer genuinely immediate money transfers. But they haven’t been able to close all the gaps. However, FIS has finally solved the underlying issues to transaction hiccups with its cloud-based RealNet™ system.
RealNet: A Real Solution for Really Fast Transactions
The RealNet SaaS solution leverages existing payment rails to speed up processing and ensure fast—and irrevocable—settlements. It’s also a natural extension for FIS, a leading Fortune 500 company known for presenting financial innovations.
Notes Global Head of Real-Time Payments at FIS, Raja Gopalakrishnan, RealNet’s power lies in its seamlessness, reliability, and security. “We are confident this new platform will be a great advantage to the organizations that use it,” Gopalakrishnan explains, “...whether business-to-business, business-to-consumer, consumer-to-business, government-to-consumer or anything in-between.”
Gareth Lodge, Celent’s Research and Advisory, praises RealNet for overcoming so many barriers to real-time payments. “Each country is moving at a different pace and has various levels of maturity when it comes to leveraging real-time payments,” he says. “The fact that RealNet will also deliver any payment type through any payment rail, anywhere, is likely to be the game changer and a global first.”
Several key differences separate RealNet from other real-time payment platforms.
1. The system is ready to cross borders.
RealNet has been designed to break down barriers associated with transferring funds globally. Not only does RealNet run 24/7/365, but it doesn’t require either account’s company to be “open” to clear payments. Currently, RealNet operates in some parts of the Americas and is expected to be available soon in the United Kingdom and Europe. Other markets and countries are scheduled to come aboard later in 2021 and into 2022.
2. RealNet turns transactions into two-way streets.
The RealNet system allows transactional entities to communicate back and forth. Traditionally, real-time payments have only fostered one-way communication. By encouraging more of a dialogue between systems, RealNet can reduce hiccups that might lead a payment to stall. Its smart-routing decision making can also identify which types of options, such as ACH, make the most sense for each transaction.
3. FIS reduces cash-availability friction for underserved community members.
RealNet’s program helps provide greater access to real-time payments for people living in underserved communities. Studies show that minorities may have fewer choices when it comes to getting money quickly. This can lead to their becoming victims of predatory lending and related schemes. Providing them with the opportunity to get their cash right away gives them a stronger advantage.
4. The minds behind RealNet are committed to improving financial literacy.
Corporations, government agencies, gig workers, and other potential users may need help understanding the RealNet system. Consequently, RealNet is offering educational events, such as the May 2021 virtual FIS Emerald X outreach conference. Additionally, FIS and RealNet have launched the Financial Futures podcast to increase knowledge related to the real-time payment market. FIS has even published Flavors of Fast reporting to illustrate the importance of shaving time between money movement. This dedication demystifies RealNet and reduces misunderstandings about real-time payments.
5. Companies that rely upon RealNet position themselves as forward-thinking brands.
Financial immediacy could become a key differentiator for businesses. Those that take real-time payments seriously boost their potential to fuel growth by attracting customers and keeping vendors. Improving satisfaction with all stakeholders helps organizations remain competitive, regardless of their industry, size, or location.
People, companies, and agencies want their money to move at the speed of life. Solutions like RealNet help make transferring cash across town or across the world easier and more reliable.