RTP gears up for int’l reach

The U.S. real-time payments (RTP) network is preparing to go global. A group of major financial institutions, including The Bank of New York, is launching a pilot program next year to test cross-border real-time payments. This initiative aims to connect the domestic RTP network with international systems, starting with a corridor between the U.S. and Europe. For retailers and service providers, this signals a shift toward near-instant settlement for international transactions, moving away from the multi-day delays common with traditional wire transfers and the SWIFT system. While the immediate pilot focuses on institutional movement, the long-term goal is to standardize how money moves across borders. This could eventually allow international customers to pay U.S. merchants with the same speed as a domestic debit swipe. For business owners, this technology promises to improve cash flow by reducing the time funds are held in transit. It also sets the stage for new consumer financing models where loan disbursements or lease payments can happen instantly across geographic lines. As the network expands, expect a reduction in transaction fees compared to legacy international payment methods.

Source: Payments Dive

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