Payments

Pegasus Bank is the first bank to connect to the RTP network via a third party

  • Pegasus Bank, based in Dallas, wanted to provide faster payments for its commercial and individual customers.
  • Working with Jack Henry, the bank connected to The Clearing House's RTP network.
close

Email a Friend

Pegasus Bank is the first bank to connect to the RTP network via a third party

Dallas-based Pegasus Bank is the first financial institution to connect to the RTP network and process live transactions via a third party service provider.

“Making faster payments a reality was already a crucial matter; fast and easy electronic payments are a necessity in today’s world,” said Jenny Murphey, executive vice president and chief operating officer at Pegasus Bank.

Pegasus used Jack Henry for its integration. The technology provider has more than 100 financial institutions using its faster payments hub, JHA PayCenter, to connect to Early Warning Services’ Zelle Network and The Clearing House’s RTP network.

  • Pegasus, a $750 million-asset bank, is offering its customers the ability to receive real-time payments sent by accountholders from other participating financial institutions.
  • The real-time payment capabilities provided by the RTP network also enable Pegasus Bank customers to receive real-time credit transfers initiated from third-party payment apps.
  • More than 50 additional Jack Henry clients are scheduled to go live on the RTP network by calendar year-end, according to the company.

“We have seen an uptick in P2P payments as well as customers applying for bill pay in recent weeks. Offering the RTP network has proven to be a tremendous value to our clients already, and we expect heightened activity in the months ahead as we expand the scope of the real-time capabilities we provide,” said Murphey.

Pegasus Bank is a wholly owned subsidiary of BancFirst Corporation and operates 3 branches in Dallas, Texas.

JHA PayCenter is a proprietary payments hub that provides connections to the Zelle and RTP networks, enabling near-real-time payments to be sent and received through Jack Henry’s core and digital solutions.

Instead of building their own connections to the faster payment networks, banks and other financial institutions can use a third party, like JHA PayCenter. It also provides access to infrastructure and payments expertise that might be challenging for individual institutions to tap into. This payments hub will also provide a single integration point with future faster payment networks.

The RTP network currently reaches more than 51 percent of U.S. transaction accounts and adoption is growing. Zelle processed $187 billion in payments on 743 million transactions in 2019.

“The demand for real-time payments has taken on a new meaning in light of the COVID-19 pandemic,” said Tede Forman, group president of consumer and commercial payments at Jack Henry.

“Consumers and businesses face mounting pressures to expedite funds availability and help improve cash flow with a new contemporary alternative for moving money how and when they need to.”

0 comments on “Pegasus Bank is the first bank to connect to the RTP network via a third party”

Payments

QuickBooks introduces new payments hardware for small businesses as everyone guns for Square

  • Intuit has introduced a new innovative, inexpensive card reader targeting small businesses.
  • Square's rising dominance over the SMB payment ecosystem is increasing competition around SMB payments.
Zachary Miller | July 26, 2021
Payments

Emphasizing high APY, Amex debuts checking account for SMBs

  • Kabbage Checking offers one of the highest APYs available to SMBs with 1.1 percent interest on balances up to $100,000.
  • SMBs can also access a line of credit between $1,000 and $150,000.
Shehzil Zahid | July 07, 2021
Payments

Capital One launches new flexible payment options for small business customers

  • Cash flow problems are among the biggest challenges facing small businesses, particularly during the pandemic.
  • Payments startup Melio will provide access to accounts payable and receivable cash flow management tools for Capital One’s SMB customers.
Ismail Umar | June 29, 2021
Payments

Affirm’s new deal with Shopify bakes it into Shop Pay Installments

  • The partnership gives Affirm a new distribution route with access to 1.7 million merchants.
  • A Barclays report says investors are underappreciating the partnership but that there’s no need.
Shehzil Zahid | June 24, 2021
Member Exclusive, Payments

Revolut moves into e-commerce with Revolut Shopper

  • Revolut Shopper allows users to find online discount deals while offering security with single-use virtual cards.
  • Other new features include purchase protection, username personalization, and the ability to track spending.
Ismail Umar | May 27, 2021
More Articles