North America Real Time Payment Market Size (2024 - 2029)

North America Real Time Payment Market Analysis

North America Real-Time Payment Market is expected to register a 29.9% CAGR in the forecasted period. Real-time payment systems are proliferating worldwide due to increased consumer demand for speed and convenience. There is a continued shift away from cash due to card transactions' strong performance in combination with payment solutions enabled by innovation (for example, real-time payments and mobile wallets) and regulation (for example, the second Payment Services Directive, better known as PSD2 and open banking).

• The growing adoption of smart devices and booming online retail commerce drives the rapid adoption of real-time payments. While the private sector is trying to promote commerce, governments tend to lag; yet there is the increased usage of real-time payments that could increase tax collection and enhance fraud prevention.
• Real-time payments are also helping in modernizing bank account-based payments. Compared to legacy bank transfers, RTP offers added benefits, such as messaging capabilities, enhanced data, increased security, and real-time funds availability. These systems provide significant benefits to all stakeholders in the ecosystem. The emphasis on data and messaging capabilities, in addition to the real-time settlement, has positioned the US RTP system as the most advanced system in the world.
• The rising tide of immediate payments reflects growing consumer demand for real-time transactions, driven due to the ubiquity of smartphones and other connected devices, which have catalyzed consumer expectations for immediacy.
• There are many regulations in some developed countries to support real-time payments. This benefits consumers and the government, which can efficiently trace activity and help increase the overall economy's fluidity. For instance, The Federal Reserve Bank and the National Automated Clearing House Association (NACHA) are working on a roadmap and incentives to accelerate real-time payments in the United States.
• Contactless payment use and competition rose as a result of COVID-19. With the outbreak, many people and businesses needed access to immediate financing. So it is safe to say that the pandemic was a major impetus behind real-time payments in North America. Real-time payment services are becoming more prevalent in the United States and Canada. For instance, The Clearing House's RTP network is the most well-known example of a real-time payments network in the United States. More than 110 businesses are enrolled in the Federal Reserve's FedNow Pilot Program, which will deploy a real-time network in 2023.

North America Real Time Payment Industry Segmentation

Real-time payments are instant or immediate payments and are defined by the Euro Retail Payments Board (ERPB) as electronic retail payment solutions that are available 24/7/365. Immediate payments enable businesses and consumers to make and receive payments in real-time, providing convenience, speed, and faster availability of funds.

North America Real-Time Payment Market is segmented by Type (P2P, P2B) and Country (the US and Canada).