The world of payments is constantly evolving, and your members expect faster, more convenient ways to manage their money.
Real-time payments, through services like the FedNow Service and The Clearing House's RTP network, are at the forefront of this change. At FLEX Credit Union Technology, we understand the importance of keeping your credit union connected to these vital networks.
That's why FLEX Credit Union Technology has completed integrations with key technology providers that support Corporate Credit Union offerings for the FedNow and RTP services. There are five primary technology providers enabling these services for Corporate CUs, and FLEX CU Tech currently integrates with three of them.
Corporate One, leveraging Alacriti, serves as a funding agent for credit unions on the RTP network and partners with Alacriti to offer funding agent services.
Alacriti facilitates connections between financial institutions and FedNow (and other rails) through its Orbipay Payments Hub solution.
Aptys’s PayLOGICS platform offers automated liquidity management and real-time reconciliation for both RTP and FedNow.
Alloya, an Aptys customer, is licensing the liquidity manager module in PayLOGICS to manage RTP and FedNow accounts, providing a feature-rich interface for member credit unions.
Pidgin is a secure real-time payments platform that supports live transactions on the FedNow Service and is among the first service providers actively facilitating transactions for financial institutions.
Pidgin aims to keep funds within your institution by bypassing digital wallet structures and initiating credit pushes directly between financial institutions on the RTP network.
If your Corporate Credit Union utilizes Alacriti, Aptys Solutions, or Pidgin to provide FedNow or RTP services, FLEX CU Tech has the necessary integration to help you participate.
Currently, we do not have integration with Juniper Payments (used by Millennium Corporate) or Vertifi Software (used by Eascorp), but these integrations can be added as part of the FLEXBridge API framework process if requested.
Integration through a credit union core system provider like FLEX CU Tech makes it possible to connect to the FedNow and RTP Service.
The FedNow Service, launched in July 2023, is the Federal Reserve's new payment rail for instant, 24/7 money transfers.
It allows financial institutions to send and receive payments within seconds, 24 hours a day, 7 days a week, 365 days a year.
The process involves payment messages being validated by the FedNow Service, followed by debits and credits to accounts (or their correspondent's master account), with the receiving institution crediting the payee's account instantly.
The Clearing House launched the RTP (Real-Time Payments) network in November 2017, making it the first new core payments infrastructure in the U.S. since ACH (Automated Clearing House) over 40 years ago. This network provides real-time clearing and settlement of payments, aiming to offer safer, faster, and smarter digital transaction services.
Both FedNow and RTP enhance liquidity management, improve operational efficiency by potentially reducing issues associated with wires and ACH, and broaden your credit union’s reach for instant payment services.
For your members, it provides faster access to funds, better financial management, and convenience for various transactions like P2P and bill payments.