Proprietary payments hub provides ready-built
connection to the latest real-time payments network
MONETT,
Mo., May 15, 2023 /PRNewswire/ -- Jack Henry™
(Nasdaq: JKHY) announced today that it is operationally ready
to support the launch of the Federal Reserve's real-time payments
network, the FedNowSM Service. Jack Henry has actively participated in the
development of the newest network, expected to launch in
July 2023. More than 20 Jack Henry
clients will participate in the supporting pilot and early adopter
program.
FedNow is an instant payments network that moves funds directly
and immediately between financial institution accounts in
the United States. The network
will initially support multiple use cases and serve as a platform
banks and credit unions can leverage to develop innovative payments
solutions that support evolving instant payment needs and
additional use cases.
"Processors play an important role in enabling the FedNow
Service for many financial institutions," said Ken Montgomery, Federal Reserve Bank of
Boston first vice president and
FedNow Service program executive. "We appreciate the
commitment that Jack Henry has made
to be ready to deliver instant payments services when we launch in
July."
Alabama-based Bryant Bank and HawaiiUSA Federal Credit Union
will be among the first financial institutions to implement the
FedNow Service using JHA PayCenter.
"Partnering with Jack Henry
through the use of JHA PayCenter to offer the ground-breaking
FedNow Service aligns with a core value of Bryant Bank – preserving our traditional culture
while embracing innovation," said Elizabeth
Allen, chief operating officer for Bryant Bank. "The ability to provide customers
with access to multiple payment channels and faster payment methods
empowers the potential of Alabamians."
"Over two years ago, we were elated to be chosen as one of the
120 organizations in the FedNow pilot program," said Scott Young, vice president of payments
operations for HawaiiUSA Federal Credit Union. "We decided to
be part of the program because we wanted to have input on how the
instant payments rail was going to operate and ensure that the
needs of financial institutions in Hawaii were being considered. FedNow will
level the playing field and help us compete with the large
financial institutions on the mainland."
Jack Henry has consistently been
on the leading-edge of faster payments, developing JHA PayCenter™,
its proprietary faster payments hub, to connect financial
institutions to the Zelle Network®, which is owned and
operated by Early Warning Services, LLC; the RTP®
network, owned and operated by The Clearing House (TCH); and now
the FedNow Service. With JHA PayCenter's integration architecture,
this ready-built hub connects Jack
Henry's core and digital solutions to the faster payment
networks and also can be leveraged to connect third-party core and
digital platforms.
"Today's convenience-driven consumers and businesses expect to
move money in the moment of need so real-time payments have evolved
into competitive necessities," said Tede
Forman, president of Jack Henry Payment Solutions. "Based on
the high and growing demand for instant payments, and the fact that
more than half of all U.S. DDA accounts are now connected to a
faster payments network, banks and credit unions simply can't
compete without offering real-time payments and meaningful use
cases. We made a strategic commitment to help our clients modernize
their payment strategies and platforms with the real-time payments
solution or solutions that enable them to remain at the center of
the payment experience and to ultimately reduce payments friction
and financial fragmentation."
About Jack Henry &
Associates, Inc.®
Jack
Henry™ (Nasdaq: JKHY) is a well-rounded financial technology
company that strengthens connections between financial institutions
and the people and businesses they serve. We are an S&P 500
company that prioritizes openness, collaboration, and user
centricity – offering banks and credit unions a vibrant ecosystem
of internally developed modern capabilities as well as the ability
to integrate with leading fintechs. For more than 46 years,
Jack Henry has provided technology
solutions to enable clients to innovate faster, strategically
differentiate, and successfully compete while serving the evolving
needs of their accountholders. We empower approximately 8,000
clients with people-inspired innovation, personal service, and
insight-driven solutions that help reduce the barriers to financial
health. Additional information is available at
www.jackhenry.com.
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SOURCE Jack Henry &
Associates, Inc.