24/7 Money Means Treasury Needs to Figure Out Its Weekend Plans

The traditional concept of a 'banking day' is becoming obsolete. Recent moves by major institutions like Citi to process blockchain-based transactions internationally show that the industry is moving toward 24/7 liquidity. For retailers and service providers, this signals a shift in how consumer financing funds will eventually be settled. Currently, many merchants experience a lag between a customer signing a financing contract on a Saturday and the funds actually hitting the business bank account on a Tuesday. This delay is largely due to legacy systems that pause over weekends and holidays. As these 24/7 payment rails become standard, the 'weekend gap' in cash flow will start to close. This shift is driven by the rise of instant payment systems and blockchain ledgers that do not require manual intervention or traditional banking hours. While this specific news focuses on high-level treasury functions, it sets the stage for the next generation of merchant settlement. In the near future, operators can expect more lenders to offer true real-time funding, regardless of what day the sale occurs. This will improve working capital management and allow businesses to reinvest their sales revenue almost immediately.

Source: PYMNTS

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