It takes digital solutions to move at the speed of business. And for a growing number of public and private organizations, that means beginning (or continuing) the path to payment modernization. In an industry where business cheques still represent 98 per cent of the overall cheque value in Canada¹, faster, more powerful transactions are crucial to adapting to the digital economy.

To meet this demand, RBC has embraced the journey of modernizing its payments process by implementing innovative new solutions, and was one of the first to market in Canada to offer real-time payment capabilities to its business banking clients.

“Payments modernization is about giving organizations the digital tools and data insights to improve their payment experience and free up time to spend on the things that really matter to them, like growing their business,” says Michelle Brick, Senior Director, Real-Time Payments Digital Integration, RBC.

Making payments click

Payments modernization is a future-ready response to contemporary business demands. For years, businesses have relied on manual, batch and paper-based processes, which can be prone to delays and human error. In contrast, payments modernization is about using digital tools and infrastructure to automate the payment process and facilitate simple, reliable transactions.

“With modernized solutions like Interac e-Transfer® for Business or Interac e-Transfer Bulk Receivables, for example, key data, such as invoice details, sender messages, and other information, now travel with each payment,” adds Brick. “That alone is a major time-saving feature that allows companies to simplify their payment reconciliation process and avoid investigative work that’s often manual and time-intensive for many businesses. When we pair that with the ability to safely exchange payments in real-time, we’re providing businesses with a powerful and efficient new way to move and access funds at a speed that matches their business needs.”

Certainly, one of the biggest promises of payment modernization is the use of data to bring greater transparency, accountability, and automation to the payments process.

“The benefits are huge for businesses in that it improves the passive nature of the whole invoicing process,” adds Gino Di Paolo, Senior Manager, Product Development & Initiatives at RBC. “Data insights and payment confirmation notifications allow clients to know that the recipient has received their funds and outstanding invoices are being dealt with so that they can continue to focus on other aspects of their business.”

Timing is also a factor. Typically, processing windows were beholden to physical banking hours, and the only way to issue emergency payments outside of brick-and-mortar operating hours was with physical cash. In contrast, payment modernization comes with the promise of being able to make payments digitally at any hour, on any day.

According to Rod Hunt, RBC Commercial Banking’s Managing Director for Real Estate Lending, the property management sector is still very reliant on manual processes, and at the end of the day, the idea of modernizing payments is about simplifying things for both their vendors and back-office teams.