The collaboration lets Citizens (CBB) offer instant payments capabilities via the Orbipay Payments Hub, letting customers get payments in seconds over both the RTP network and the Federal Reserve’s FedNow Service, according to a Wednesday (July 23) news release.
“Partnering with Alacriti for instant payments has empowered CBB to deliver faster, more seamless financial experiences to our customers,” Susan Mlot, executive vice president/head of operations at Citizens Business Bank, said in the release.
“This collaboration enhances our digital capabilities, strengthens our competitive edge, and positions us at the forefront of real-time banking innovation.”
According to the release, CBB picked Alacriti to help streamline its real-time payments infrastructure, via a centralized hub that provides “intelligent orchestration, enhanced risk management, and native ISO 20022 support.”
The solution will serve both retail and business banking customers, providing around-the-clock access to instant payments and integration with the bank’s core and digital banking systems.
“Citizens Business Bank has a rich history of empowering local businesses and fostering long-term relationships through trust and service,” said Mark Majeske, senior vice president of faster payments at Alacriti. “By embracing real-time payments with our Orbipay Payments Hub, they’re carrying that same commitment into the future—delivering faster, more transparent, and secure payment experiences for their customers.”
And instant payments options are becoming increasingly important for the banking world, as PYMNTS wrote earlier this month, saying financial institutions (FIs) that fail to embrace this method “risk customer churn and diminished relevance in the competitive payments landscape.”
Research by PYMNTS Intelligence has found that while FIs have enabled real-time payment receipt, few provide the ability to send funds instantly.
“This imbalance limits the full potential of these advanced networks and leaves customer expectations unmet,” that report added.
“This year’s instant momentum will necessitate banks leaping from merely receiving to fully enabling send-and-receive capabilities. FIs that do not implement sending alongside receiving risk losing market share to competitors.”
The research found that 52% of banks offering instant transactions cited bill pay as a driver of customer interest in issuing real-time payments. Offering this instant service gives customers an incentive for customers, potentially keeping them from moving over to FinTechs that offer similar digital payment suites.
