BNY, together with banking association and payments company The Clearing House, has successfully completed “the largest instant payment in US history”. The US$10 million inter-company liquidity management payment is also the first on The Clearing House’s real-time payments platform, RTP, to exceed US$1 million.
The payment, made by global transfer agent Computershare to another financial institution, was enabled by the increase of RTP’s transaction limit from US$1 million to US$10 million on 9 February. In a press release, BNY describes the transaction as “a significant milestone in the evolution of instant payments, unlocking new opportunities for businesses to move money faster, optimise cash flow, and streamline financial operations”.
Real-time higher value payments are especially helpful for corporate clients when it comes to managing supplier transactions, moving wealth management or brokerage funds between accounts, funding payrolls, responding to unplanned liquidity needs, and ensuring the immediate settlement of obligations.
Ann Bowering, CEO of Computershare Issuer Services, North America, says, “With real-time payments, we can settle higher-value transactions immediately, reducing counterparty risk and improving overall working capital efficiency.”
