Dallas Capital Bank now has full RTP® (Real Time Payment) capabilities improving the flow of commerce in the digital economy. RTP® allows for improved cash flow with precisely timed payments in real time, anytime. Transactions are streamlined through two-way communication providing relevant information to both parties and immediate availability of funds. Dallas does business in real time, and now you can, too, with RTP® at Dallas Capital Bank.
For the past 50 years, money has moved in one of three ways – checks, wire transfer and ACH. While important funders of commerce, each of these “money rails” has its own set of challenges in the digital age.
- Checks - Must clear through the Federal Reserve and subject to its hours (8-5, M-F); also subject to the hours of both sending and receiving banks.
- Wire transfer – Money travels bank to bank via the Federal Reserve and is considered good funds, however is subject to its hours.
- ACH (automated clearing house) – Electronic bank to bank transfer, designed to send in batches, but again must go through the Federal Reserve, subject to its hours. ACH transactions can also be subject to various chargeback and reversal rules.
RTP’s innovative technology addresses these challenges in numerous ways, for both sending and receiving financial institutions. Dallas Capital Bank is one of the first 30 banks in the country currently offering both the send and receive components of RTP®.
The characteristics of a real-time payment on the RTP network are:
- 24/7 – The RTP network is live and operates 24 hours a day, 7 days a week, which allows financial institutions to send or receive payments at any time.
- Immediate Availability – Recipients receive the payment within seconds of the sending bank initiating the transaction; RTP network receiving financial institutions are required to make funds available immediately, except where necessary for risk management or legal compliance purposes.
- Payment Certainty – Sending financial institutions (FI) are not able to revoke or recall a payment once it has been authorized and submitted to the RTP network. However, there is a process to facilitate FI-to-FI communication around return of funds sent in error.
- Ubiquity – All federally insured depository institutions can be RTP network participants, regardless of size.
- Extensibility – Rich, flexible messaging functionality is included to support value-added products. For example, the RTP network provides messaging that enables a request for payment of a bill or invoice.
- Convenience – Customers of RTP network financial institution participants are able to initiate payments from their existing accounts.
- Cash Flow Control – The ability to send and receive immediate payments gives customers more control over cash flow, which may be particularly important for cash-constrained small businesses and consumers.
- Adaptability – The RTP network has a flexible architecture to adapt to changing market needs.
And there’s more to come! Like Venmo and Zelle, in addition to the ability to send funds, RTP® will offer a request funds functionality sometime in 2023.
Dallas Capital Bank is proud to be a leader in adopting technology solutions that provide the most convenient, efficient, and cost-effective results for our clients. We expect the addition of the RTP® offerings to be part of a suite of payment options, rather than eliminating the need for ACH or wire services. In addition to this commitment to banking technology, our bankers are well-versed and well-educated in helping you position this offering to best serve your business.
Dallas Capital Bank Member FDIC