Did you know Millennium Corporate is a trusted funding agent for Real-Time Payments (RTP)? The financial landscape is evolving, and real-time payments are transforming how money moves. As credit unions look to modernize their payment capabilities, Millennium Corporate is here to help. By designating us as your funding agent, your credit union can seamlessly participate in this groundbreaking network.
Getting to Know RTP Payments
In 2017, The Clearing House (TCH) launched the RTP network. This innovation enables the immediate clearing and settlement of payments. Consumers and businesses alike benefit from the ability to send and receive payments directly from their accounts at federally insured depository institutions - 24 hours a day, seven days a week.
RTP offers a new way to pay, built for today’s fast-paced, digital-first world. Unlike credit or debit card transactions, RTP payments provide:
- Speed – Payments are processed instantly, ensuring funds move from one account to another within seconds.
- Control – Only the sender can initiate a payment, eliminating unauthorized debits and putting account holders in control of their transactions.
- Finality – Once a payment is made, it cannot be canceled or automatically recalled, similar to cash transactions.
- Immediate Confirmation – Both the sender and recipient receive confirmation that funds have been transferred and made available.
How RTP Benefits Credit Unions
For credit unions, joining the RTP network provides significant advantages:
- Instant Payment Processing – Transactions settle in real time, eliminating delays associated with traditional payment methods.
- Enhanced Member Experience – Members can send and receive funds instantly, providing greater convenience and efficiency.
- Improved Cash Flow Management – Immediate availability of funds allows businesses and individuals to manage their finances more effectively.
- Advanced Data Capabilities – RTP includes enhanced messaging and data features, enabling better transaction tracking and reconciliation.
- Fraud Protection – Since only the sender can initiate payments, RTP reduces the risk of unauthorized transactions and chargebacks.
How Millennium Corporate Supports Your RTP Participation
Credit unions looking to leverage the RTP network can simplify the process by designating Millennium Corporate as their funding agent (only Member credit unions can designate Millennium Corporate as their funding agent). This arrangement eliminates the need for credit unions to maintain a direct settlement account at the FRB, reducing administrative complexity while ensuring seamless access to the RTP network. By partnering with Millennium Corporate, your credit union can:
- Gain access to real-time payment capabilities without additional operational burdens.
- Ensure compliance with RTP requirements while focusing on member service.
- Leverage our expertise and infrastructure for secure and efficient payment processing.
As Millennium Corporate Credit Union serves solely as the funding agent for RTP, credit unions must first establish their 'Participant Status' by joining The Clearing House (TCH) and understanding the associated roles and responsibilities. TCH will provide the necessary guidance on these requirements. Millennium Corporate becomes involved once the credit union elects to implement RTP, ensuring that funding is properly established.
What’s Next?
Real-time payments are the future, and your credit union doesn’t have to navigate this transition alone. By working with Millennium Corporate as your funding agent, you can offer cutting-edge payment solutions while maintaining operational efficiency.
To learn more about how RTP can benefit your credit union and how to get started, contact a Member Engagement Representative at Millennium Corporate (engage@millenniumcorporate.org) or visit theclearinghouse.org. Let’s bring real-time payments to your members!