Real Time Payments: Transforming Lending with Instant Money Transfers

For merchants in the Lending industry, speed and timeliness are pivotal to succeed in a fast-paced, competitive environment. When it comes to funding a loan, advance or payment for a syndicate or Independent Sales Organization (ISO), it is important to act accurately and quickly.

Actum Processing is continually committed to providing innovative means to drive more business for merchants with their clients. Our latest ACH solution, Instant Credits powered by Real Time Payments (RTPs), is a proven game changer for Lending industry merchants.

What are Real Time Payments?

Instant Credits powered by Real Time Payments, or RTPs, enable merchants to send money to their clients in a lightning-fast manner, regardless of the time or day. This revolutionary payment processing network facilitates electronic fund transfers between banks in the United States, ensuring instantaneous transactions available year-round, even beyond business hours, bank holidays, and weekends.

According to a 2019 report, two-thirds of the United States workforce under the age of 35 expected immediate access to wages earned. For our merchants in the Lending industry, this possibility is now reality.

How are RTPs executed? What are its impacts?

Our clients can leverage Instant Credits powered by RTP through a myriad of channels such as direct API integration, integrated SaaS platforms or Actum’s user-friendly Virtual Terminal.

Although RTPs are not wire transfers, they operate faster and run through the Clearing House’s RTP rail, a dedicated track for the transaction occur within seconds.

Given RTP’s 24/7/365 availability, payments can be sent and received any time of the day, any day of the week. The pain points of the settlement process are removed.

RTP ensures funds can be sent with confidence in the evolving times of ACH payments as it is cost effective, speedy and permanent.

But you don’t have to take our word for it. Our merchants can attest to the incredible impact that Real Time Payments has provided for their clients.

“We primarily fund our deals using the ACH network. Fridays were difficult due to the weekends being non-banking days. Often, a client would have to wait until Monday to receive their funds. Thanks to Real Time Payments, we can fund those deals on Friday, allowing clients to have the money that same day.”

– Juan Cruz Alvarez Wrobel, Founder, Upfunding Capital

How do RTPs different from Same Day Credits? How do RTPs differ from wires?

Same Day Credits provide the option for merchants to process credit transactions, or deposits, on the same day it is submitted. However, there are distinct cutoff times for this ACH solution. Also, Same Day Credits are subject to business hours, weekends and holidays.

As a 2022 article from the Association For Financial Professionals considered, wires, like Same Day Credits, are subjected to cutoff times. Meanwhile, RTPs, seen as a direct, lower-cost replacement for wires, are always available.

While Same Day Credits provide the option for merchants to process credit transactions on the same day they are submitted, Instant Credits powered by RTP offer unparalleled speed and availability. Processed seven days a week, 24 hours a day, 365 days a year, clients receive funds within seconds via RTP.