Given the increase in accelerated-payment technologies and services, treasurers should keep the following in mind when weighing their options:

This is a work in progress. Companies and banks are "still working through legacy issues related to straight-through processing, visibility, expectation management, and pricing considerations," Hilt emphasizes. "The new options for real-time, same-day, and other faster payments certainly help with many of these challenges." Yet he also notes that, for treasury functions, "having, or building, the necessary integrations is crucial to realizing the overall benefits."
Look beyond speed. Faster payments are valuable, but other factors also should be evaluated, stresses Strategic Treasurer managing partner Craig Jeffery. "Making payments better from a visibility perspective is part of the comprehensive value proposition," he notes, while pointing out that efficiency, control, and cost also require consideration. "The evaluation should normally begin with the end-to-end view of value for all parties," Jeffery adds. "Optimizing a single component will suboptimize the entire value transfer process."
Controls are required. "Treasury leaders should consistently evaluate and have controls in place for risk and fraud, especially around email compromises and social engineering," Lucas notes. Hilt agrees, stressing that compliance and fraud considerations should be factored into payment processes, as well as supporting technologies and the systems those applications interact with.

"I think it's encouraging that the range of products, services, and providers continues to grow for treasurers," Hilt adds, "and that they have a variety of viable options to achieve their straight-through processing objectives."

See also:

Instant Insights /

Accelerated Payments: Key Considerations

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