by
Catalyst Corporate | Oct 16, 2023
Partnership Simplifies Onboarding to the Federal Reserve’s New Instant Payments Rail
Catalyst Corporate Federal Credit Union and its fintech Aptys Solutions have partnered with Corelation, a leading credit union core processor, to provide client credit unions streamlined access to instant payments through the Federal Reserve Banks’ new FedNow Service.
That means credit unions on Corelation’s KeyStone core processing system can easily connect to the FedNow Service through Catalyst’s end-to-end solution for sending, receiving and settlement of FedNow transactions. Catalyst’s solution went live July 19, as the Fed launched its new payments rail.
“The FedNow Service is now a reality, and financial institutions are showing strong interest in onboarding the service, especially with significant participation from pilot program financial institutions and the U.S. Department of the Treasury,” said Brad Ganey, COO at Catalyst.
“This partnership was a natural extension of Catalyst’s existing relationship with Corelation for core-integrated deposit services through our TranzCapture service suite,” Ganey said. “Adding the FedNow integration catapults Corelation credit unions to the front of the implementation queue, as connectivity with the Fed and Corelation has already been fully developed and tested. With Catalyst’s holistic instant payment solution, Corelation clients avoid some of the implementation challenges credit unions face when trying to establish connectivity.”
Catalyst’s strategic acquisition in 2020 of Aptys Solutions, a leading fintech that processes billions of transactions annually for 5,500 financial institutions across the country, solidified Catalyst’s role as a faster payments leader and positioned credit unions for future success. Catalyst and Aptys were both among the first round of early adopter organizations to complete certification in the FedNow Service and their solution was the first to go live in the Fed’s 11th District.
“The FedNow Service and RTP® are expected to have a significant impact on the financial industry in the next few decades. At Aptys, we recognized this early on and developed our instant payments as a SaaS, cloud-native solution with open APIs. This helps financial institutions integrate any core system and provide instant payments through a single platform with intelligent routing for FedNow and RTP services,” said Naseer Nasim, CEO of Aptys Solutions. “We are excited about our partnership with Catalyst and Corelation to offer credit unions market-leading instant payment solutions."
“We are excited to partner with Catalyst and Aptys to bring this new real-time payment option to our credit unions,” said Corelation’s Director of Vendor Relations Ron Yeshulas. “Beyond the benefit of funds transfer timeliness that many members are expecting of their credit unions today, FedNow’s enriched data set and messaging protocols present credit union back offices with a unique opportunity to reduce payment inquiries and expedite receivables posting and reconciliation, among a host of other benefits. We look forward to helping facilitate the growth of this new payment capability.”
Additional benefits of the Catalyst/Aptys solution for Corelation clients include:
- Connectivity to the FRB and to any core, online or mobile banking platform
- Easy reconciliation and research through a dedicated sub-account for FedNow transactions
- Greater interest earnings with extended hours to settle funds compared to Fed
- 24/7 liquidity management from line of credit
- Dedicated planning, implementation and ongoing support
- Connectivity to The Clearing House RTP® Network and Moli P2P mobile app
For more information or to get in the queue for the FedNow Service through Catalyst, contact us today.