Credit Card Processing
Retail Face-to-Face
Mail Order Telephone Order
eCommerce Internet Sales
eMail Invoicing
FedNow & Real-Time
Payments
Solutions
Online integrated Origination, Sending, Receiving and Recordation of all Good Funds Transfers.
"All participants receive instant real-time electronic notifications. Use our online Payment Gateway interface or integrate your in-house system with our API"
More info
Check Processing
Online Reporting with Images
Stop Going to the Bank
Next Day Funding
Check 21 - Remotely Create Checks
Electronic Check
Pay With FedNow® vs. Credit Cards: A Side-by-Side Comparison
What is Pay With FedNow®? How Does it Compare to Credit Cards?
Pay With FedNow® vs. Credit Cards: Which Instant Payment Solution is Better?
Are Credit Cards Becoming Obsolete?
For decades, credit cards have dominated the payment landscape, offering convenience but also high fees, processing delays, and security risks. Businesses and consumers alike have been trapped in a system where transactions take days to settle, chargebacks create financial risks, and fees eat into profits.
But now, there’s a faster, cheaper, and more secure way to pay—Pay With FedNow®. The Federal Reserve’s instant payment system enables real-time transactions without the delays, chargebacks, or high costs associated with credit cards.
���� But is FedNow® really better
than credit cards?
���� Will businesses and
consumers benefit from real-time bank transfers?
����
Can FedNow® replace credit card payments entirely?
This article breaks down the key differences between Pay With FedNow® and credit cards, helping businesses and consumers choose the best payment method for their needs.
Use "Pay with FedNow" for your business using Real-Time Payments
Pay With FedNow® is a real-time bank-to-bank payment system that allows users to transfer funds instantly, 24/7/365. Unlike credit cards, which rely on third-party networks (Visa, Mastercard, Amex) and charge merchants transaction fees, FedNow® eliminates the middleman, reducing costs and increasing transaction speed.
Key Differences Between Pay With FedNow® and Credit Cards
|
Feature |
Pay With FedNow® |
Credit Cards |
|
Transaction Speed |
Instant (Seconds) |
1-3 Business Days |
|
Availability |
24/7/365 |
Limited by Bank Processing Hours |
|
Processing Fees |
Low or None |
2-4% Per Transaction |
|
Chargebacks |
No Chargebacks |
Chargebacks Allowed |
|
Security |
Highly Secure |
Vulnerable to Fraud & Identity Theft |
|
Best For |
Direct Bank-to-Bank Transfers |
Deferred Payments & Consumer Credit |
Key Takeaway:
Pay With FedNow® eliminates costly transaction fees, delays, and chargebacks, making it a superior payment option for businesses and consumers alike.
5 Reasons Why Pay With FedNow® is Better Than Credit Cards
1. No More High Credit Card Processing Fees
Credit card transactions
typically cost businesses 2-4% per transaction in
processing fees.
With Pay With FedNow®,
businesses can accept direct payments at little to no cost.
Example: A business processing $100,000 in monthly credit card sales could save $2,000-$4,000 per month just by switching to FedNow®.
2. Instant Fund Availability – No Waiting for Bank Settlements
Credit card payments take
1-3 days to settle in a merchant’s bank account.
FedNow® transactions clear instantly, improving cash flow for
businesses.
Example: A restaurant using credit cards may wait days to access funds from weekend sales, whereas with FedNow®, funds are immediately available for business expenses.
3. No Chargebacks or Payment Disputes
Credit card transactions
can be reversed through chargebacks, creating fraud risks for
merchants.
FedNow® transactions are final
and irrevocable, protecting businesses from revenue losses.
Example: A small business owner selling digital products can avoid fraudulent chargebacks by switching to FedNow® instant payments.
4. 24/7/365 Transactions – No Banking or Processing Delays
Credit card transactions
depend on banking hours and network availability.
FedNow® operates 24/7/365, ensuring payments are processed
instantly—even on weekends and holidays.
Example: A freelancer waiting for a client’s credit card payment on a Friday evening may not receive funds until Monday—but with FedNow®, they get paid instantly.
5. Direct Bank-to-Bank Payments – No Third-Party Intermediaries
Credit card transactions
involve issuers, acquirers, payment processors, and networks,
adding fees and processing delays.
Pay With FedNow® allows direct bank-to-bank payments,
eliminating unnecessary intermediaries.
Example: A wholesale supplier receiving payments via FedNow® can eliminate middlemen, reduce transaction costs, and speed up order processing.
Attributes:
"Pay With FedNow® vs. credit cards: Which
is better?"
"Instant bank-to-bank payments vs. credit
card processing fees"
"How businesses can save money by
switching to Pay With FedNow®"
"FedNow® vs. credit
cards: Which payment method is right for you?"
"The
benefits of real-time payments with Pay With FedNow®"
When to Use Pay With FedNow® vs. Credit Cards
���� When to Use Pay With FedNow®:
✔ For businesses looking to
reduce transaction fees and improve cash flow
✔
For real-time B2B transactions with suppliers and partners
✔ For secure, fraud-resistant payments with no
chargebacks
✔ For peer-to-peer (P2P) money
transfers with instant fund availability
⚠ When to Use Credit Cards:
✔ For consumers who need the
ability to finance purchases over time
✔
For businesses offering rewards programs or cashback incentives
✔ For large purchases that require dispute
resolution (chargebacks)
How to Get Started with Pay With FedNow®
Step-by-Step Guide
✅ Step 1: Check if
Your Bank Supports FedNow®.
✅ Step 2:
Enable FedNow® Payments for Your Business or Personal Use.
✅ Step 3: Set Up FedNow® as a Preferred
Payment Option.
✅ Step 4: Start
Sending & Receiving Instant Payments—24/7/365!
Stop Paying Fees, Start Using Pay With FedNow® Today!
���� Why are you still paying credit card fees and waiting days for transactions to clear?
Business Owners &
Entrepreneurs: Accept payments instantly, eliminate processing
fees, and increase profits.
Retailers &
Merchants: Stop losing revenue to chargebacks and high
transaction costs.
Freelancers & Contractors:
Get paid immediately after each job—no more waiting for bank
settlements.
Banks & Financial Institutions:
Offer your customers the fastest, most secure payment option
available today.
���� The future of payments is here. Fast. Secure. Affordable. That’s Pay With FedNow®.
���� Talk to US today and switch to Pay With FedNow® for real-time transactions!
Creation Request for Payment Bank File
Enhance Your Pay With FedNow using Credit Cards Payment Requests with FedNow’s ISO 20022 Messaging
Streamline Payments with Advanced Request for Payment Options:
Harness the power of FedNow's Request for Payment system to transform how you manage invoices and remittances. Our platform supports diverse data integration options, allowing payees to incorporate detailed invoice data directly within the RfP message or link to a comprehensive Merchant Page.
Flexible Invoice Details with ISO 20022 Messaging:
Leverage the flexibility of ISO 20022 messaging standards in our RfP system. You can choose to display crucial payment details directly in the message with a concise 140-character description, or through a dynamic "Hyper-Link" leading to a detailed Merchant Page. This Merchant Page can be hosted either on your website or TodayPayments.com/HostedPaymentPage.html through our seamless integration solution.
Customizable Merchant Pages for Enhanced Customer Experience:
Create a Merchant Page that not only details all the MIDs you own but also presents these options attractively to your customers through the RfP. This customization ensures that whether your payer opts for Real-Time Payment, Same-Day ACH, or Card transactions, they can easily navigate and complete their payments through a simple click on the hyperlink provided on your Merchant Page.
Call us today and receive the .csv or .xml FedNow® or Request for Payment (RfP) file you need—all during your very first phone call! We guarantee that our comprehensive reports integrate flawlessly with your bank or credit union. As pioneers in recognizing the benefits of RequestForPayment.com, we have stayed years ahead of our competitors. Although we are not a bank, our role as an "Accounting System" within the Open Banking ecosystem enables us to work with billers to create effective RfP files that seamlessly upload to the biller's online banking platform. U.S. companies rely on our expertise to learn how to deliver the RfP message directly to their bank with precision.
Our advanced solution, Today Payments' ISO 20022 Payment Initiation (PAIN.013), demonstrates how to create a Real-Time Payments Request for Payment file that sends a clear message from the creditor (payee) to its bank. Most financial institutions support the import of messaging and batch files for both FedNow® and Real-Time Payments (RtP), ensuring smooth processing. Once the file is correctly uploaded, the creditor’s bank processes the payment through a secure "Payment Hub"—with The Clearing House serving as the RtP Hub—and relays the message to the debtor's (payer's) bank. This streamlined approach not only accelerates transaction processing but also enhances transparency and reliability for all parties involved.
... easily create Real-Time Payments RfP files. No risk. Test with your bank and delete "test" files before APPROVAL on your Bank's Online Payments Platform.
Today Payments is a leader in the evolution of immediate payments. We were years ahead of competitors recognizing the benefits of Same-Day ACH
and Real-Time Payments funding. Our business clients receive faster
availability of funds on deposited items and instant notification of
items presented for deposit all based on real-time activity.
Dedicated to providing superior customer service and
industry-leading technology.
Contact Us for Request For Payment payment processing
