Welcome to this week's edition of Innovating Payments News: Weekly Top 3. This week's headlines run the gamut from robust second-quarter growth for the ACH Network to top FinTech trends, and insights from Digital Federal Credit Union on innovation and security.
Read on to learn more.
1. Strong Growth Continues for ACH Network as Volume Climbs Nearly 10% in Second Quarter of 2021 (Nacha)
Robust growth continued for the modern ACH Network in the second quarter of 2021. Payment volume climbed 9.9%, with particularly strong growth in business-to-business (B2B) payments. The ACH Network processed 7.3 billion payments in the second quarter, 655 million more than the same time in 2020. The value of those payments was $18.4 trillion, an increase of 24.6% from a year earlier. B2B payments increased 28.7%, to 1.3 billion payments. "While the B2B segment was growing before the pandemic, the transformation of business payments from paper has greatly accelerated over the past year," said Jane Larimer, Nacha President and CEO. "The ACH Network is here to enable fully electronic business-to-business payments." Read more.
2. Tracking Today's Top Fintech Trends (CU Insight)
The explosive growth of digital technology in the last two decades has permeated virtually every aspect of our daily lives. Every industry now has tech-driven solutions that make using its products more convenient for consumers. The financial services industry is no exception. If you hadn't heard, adoption of digital banking products is soaring. Consider the following statistics: 73% of Americans access their bank accounts online or through their mobile device; the penetration of digital payments reached 78% in 2020; the COVID-19 pandemic accelerated the adoption of digital products and services by six years. Read more.
3. Digital Federal Credit Union on Breaking through Innovation and Security Barriers (PYMNTS July 2021 Credit Union Tracker)
Some of the latest data holds good news for credit unions, with recent PYMNTS research confirming that the majority of CUs are meeting the challenge to offer digital services and products that members have come to expect. The Credit Union Innovation Study, a PYMNTS and PSCU collaboration that surveyed 5,239 U.S. consumers and 100 CU decision-makers, found that 80 percent of members said their CUs innovate either "somewhat" or "very" well. Read more.
Is your financial institution experiencing an increase in electronic business-to-business payments? With the penetration of digital payments reaching 78 percent in 2020, what digital solutions are you putting into place? In a survey of 5,239 U.S. consumers and one hundred credit union decision-makers, 80 percent of members said their credit union innovates "somewhat" or "very well." What new innovations are you working on?
Be sure to check back for next week's top three news items, highlighting the industry's most pressing and need-to-know developments.
AUTHOR: Joe Casali, AAP, NCP
Executive Vice President
As the EVP of Payments Innovation for NEACH, Joe focuses on exploring innovative solutions and technologies that will help position members for success, both now and in the future. Connect with Joe to read more of his blogs, articles, and posts.