Yes, Walmart is indeed set to offer instant bank payments, a move that will bypass traditional card networks. This new payment option is designed to streamline transactions and is expected to roll out in 2025.
This strategic initiative aims to leverage modern payment rails to facilitate direct bank-to-bank transfers, potentially reducing the reliance on card processors and their associated fees.
How Walmart's Instant Bank Payments Will Work
Walmart's upgraded pay-by-bank offering will utilize advanced financial technology to enable real-time money movement directly from customers' bank accounts. This system is built on a robust infrastructure designed for speed and efficiency.
Key aspects of this new payment system include:
- Rollout Timeline: The service is scheduled to be introduced in 2025.
- Technology Provider: Transactions will occur over Fiserv's NOW Network. This network is a critical component, providing the technological backbone for the instant payment process.
- Network Integration: Fiserv's NOW Network is integrated with major real-time payment infrastructures, ensuring broad accessibility and rapid processing. Specifically, it connects with:
- The Clearing House's Real Time Payments (RTP) network.
- The Federal Reserve's FedNow instant payment service.
By integrating with these modern payment rails, Walmart is positioning itself to offer a direct, secure, and instant payment method that circumvents the traditional card processing ecosystem.
Key Features of Walmart's Pay-by-Bank System
The introduction of instant bank payments represents a significant evolution in retail payment options. Here’s a summary of its core components:
| Feature | Detail |
|---|---|
| Availability | Rolling out in 2025 |
| Core Technology | Fiserv's NOW Network |
| Underlying Networks | Integrates with The Clearing House's RTP and Federal Reserve's FedNow |
| Primary Objective | To bypass traditional card networks |
| Transaction Type | Instant bank-to-bank payments |
This direct payment method could provide a more cost-effective solution for retailers by eliminating intermediary fees typically associated with card transactions, while also offering customers a potentially faster and more direct way to pay.
