Real-time payments is a real topic currently for Financial professionals. During the AFP conference, which took place on from October 23rd to October 26th in Philadelphia, we had the chance to assist to fraud-oriented conference topics and here is a quick throwback on what has been discussed. To cover real-time payements and related B2B payment fraud issues, the Association for Financial Professionals appointed the following speakers :
- David Miller, Treasurer, Hunt Companies
- Petar Tomicic, Treasury Manager, BeamSuntory
- Bob Stark, Global Head of Market Strategy, Kyriba
Instant payment facts, at a glance :
- 70+ B2B instant payment networks globally (most are domestic and not cross border)
- RTP payments can be delivered with remittance data
- US : The clearing House was first : FedNow coming soon
- 24×7 payment / confirmations in real time
- APIs support real-time payments often in combination with real-time reporting
- US Payment limit increased to $1 million
Top concerns with Real-time Payments for treasurer
If you’re willing to set up real-time payments within your treasury department, you might be wondering :
- Why would I pay extra for “real-time” ?
- Our AP team is happy with ACH, why moving on to RTP ?
- Does our bank support APIs ?
- Do we have to replace our bank connectivity ?
- Instant payment = Instant fraud ?
The fraud aspect is a very big issue related to real-time payement if and only if you don’t have controls in place. Fraud risk is the same as regular wires as long as you have regular and secured bank account controls in place in your department. Good controls = no fraud !
For and against Real-time payments
Considerations when adopting
Adopting real-time payments also means considering to review the entire payment process within your company, in order to ensure upstream security.
Here is a preview of an exemplary RTP process.
Trustpair is the leading anti-fraud platform for large corporates. We provide real-time and international account validation on the P2P process from the beginning to the end. To prevent payment fraud on real-time payements, we recommend to work with accurate third party data in your systems. Get in touch with us to know more about how to protect your company from payments fraud.
