Instant Recurring Payments

To establish an upfront on-time "standing approval" for instant recurring payments using real-time payments services, particularly a payment hub, such as a financial institution's payment platform or a third-party payment processing service, here's how you can proceed:

1. Access the Payment Hub:

• Log in to the real-time payments services hub provided by the financial institution or third-party payment processor. Ensure that the hub supports recurring payments and standing authorizations.

2. Standing Approval Setup:

• Navigate to the section within the payment hub dedicated to setting up standing authorizations or recurring payments. Look for options related to initiating recurring payments without requiring individual approval for each Request for Payment (RfP).

3. Define Authorization Parameters:

• Specify the parameters of the standing approval, including the payment frequency, amount, start date, and duration. Provide clear instructions to the payer about the terms and conditions of the authorization.

4. Payer Consent:

• Prompt the payer to provide explicit consent within the payment hub to authorize their financial institution to process future payments automatically. Ensure that the payer understands and agrees to the terms of the standing approval.

5. Automated Payment Processing:

• Once the standing approval is established, the payment hub automatically processes payments at the scheduled intervals based on the predefined parameters. Payments are initiated without requiring manual approval from the payer for each RfP.

6. Funding from Payer's Account:

• On the scheduled payment dates, the payment hub debits the necessary funds from the payer's account and initiates the transfer to the payee's account in real-time.

7. Notification and Confirmation:

• Both the payer and payee receive notifications or confirmations from the payment hub for each successful payment transaction. This provides transparency and allows for tracking of payments in real-time.

8. Monitoring and Oversight:

• The payer can monitor their payment history and transaction records within the payment hub to track the status of recurring payments. They can also review and manage their standing approvals as needed, making adjustments or canceling authorizations if necessary.

By leveraging a real-time payments services hub and setting up upfront on-time standing approvals for instant recurring payments, the payer can automate their payment processes and eliminate the need for manual approval for each RfP. This streamlines the payment workflow and ensures timely processing of recurring payments.