Corporate One Federal Credit Union, a leading wholesale financial services provider to more than 750 of America’s credit unions, announced today its Funding Agent Service is now live for credit unions on the RTP® network, the real-time payments system from The Clearing House.
Corporate One’s Funding Agent Service comprehensively facilitates the 24/7/365 funding management for credit unions on the RTP network and completes a journey that began last year when Corporate One was the first credit-union-specific financial institution to commit to becoming a funding agent. Crane Credit Union is the first credit union to use Corporate One as its funding agent.
“Our Funding Agent Service has been designed to support credit union adoption of instant payments by offering a 24/7/365 liquidity and settlement management service that eases the operational challenges many credit unions may face when wanting to offer around-the-clock payment solutions,” said Melissa Ashley, Corporate One’s President/CEO. “And serving as a funding agent fits right in our wheelhouse of partnering with credit unions on payments and cash management. We have a long history of doing that well, we are experienced at it and we are excited to announce we are live with our solution and ready to support credit unions seeking to take advantage of the opportunities offered by real-time payments.”
Corporate One’s Funding Agent service for the RTP network leverages Corporate One’s leadership in the payments industry and sets up credit unions for success in the rapidly expanding payments landscape by supporting a credit union’s participation on the RTP network through funding management. As a credit union’s funding agent, Corporate One provides an easy and efficient way for credit unions to manage funding requirements for real-time payment transactions, a needed capability that could be overly burdensome for credit unions to administer individually. When a credit union joins the RTP network and designates Corporate One as their funding agent provider, Corporate One’s service will:
• Comprehensively manage RTP network funding and liquidity for credit unions.
• Provide required, pre-funded balances on the credit union’s behalf.
• Monitor and manage balances, including reacting to position alerts on a 24/7/365 basis.
• Provide daily reconciliation reports.
Crane Credit Union is now live on the RTP network for receive only and is connected through JHA PayCenter™ from Jack Henry & Associates. Corporate One is supporting Crane Credit Union on their journey to using the full capabilities of the RTP network.
The RTP network, developed by The Clearing House, is the first new payments infrastructure built in the U.S. in more than 40 years and is empowering financial institutions and businesses to implement innovative, value-added use cases for faster payments. The RTP network gives the banking industry a modern platform for 24/7 domestic real-time payments, complete with rich data capabilities and immediate payment confirmation. The network enables instantaneous settlement and availability, so funds can be used or withdrawn as cash within seconds.
The RTP network’s real-time payment capabilities reach 57% of U.S. demand deposit accounts, with more financial institutions joining the network each week. Moreover, FIs that hold 70% of U.S. DDAs have technical access to the RTP network, often through core banking technology providers. The RTP network offers a flat pricing structure for all depository institutions regardless of size, does not include volume discounts or have minimum volume requirements, and, unlike ACH, does not charge an operator fee to receive payments.
“We are excited that Crane Credit Union is joining the RTP network, with Corporate One as its funding agent and Jack Henry connecting Crane to the network,” said Steve Ledford, TCH’s Senior Vice President of Product Strategy and Development at The Clearing House. “Financial institutions of all sizes can leverage the funding management expertise of Corporate One and the technology connectivity of Jack Henry to join the real-time payments revolution relatively easily.”