Bank of America Corp shares rose 2.4% on Thursday after the company said it will introduce a cross-border real-time payments solution next quarter. The service is intended for corporate, commercial and financial institution clients and will be available through Swift or the bank’s CashPro digital platform.
The new capability targets high-volume, low-value transactions such as person-to-person and business-to-consumer payments. The bank cited projections that person-to-person payments will grow 58% by 2032, while business-to-consumer payments are expected to increase 131% over the same period.
Bank of America said the product will connect to multiple real-time payment networks, naming SPEI in Mexico, the Faster Payments Service in the United Kingdom, and Unified Payments Interface in India among those it will support. In addition, clients will be able to receive inbound real-time payments into the United States, where the bank serves approximately 70 million consumer and small-business clients.
Mark Monaco, head of Global Payments Solutions at Bank of America, described the initiative in the context of global policy aims. "Around the world, policymakers and financial institutions share a common goal: making cross-border payments faster, more transparent, more affordable, and more accessible," he said. "This new capability directly supports the G20 payment objectives while giving our clients a scalable, reliable way to move money globally - without adding operational complexity."
The offering will include features designed to reduce operational friction: real-time payment tracking, full-principal delivery with no lifting fees or deductions, and pre-validation of recipient account information to lower the incidence of failed payments. Funds will be delivered to beneficiaries in local currency, typically within seconds or minutes, according to the bank.
Corporate and financial institution clients will access the service either via Swift connectivity or through existing CashPro links using APIs or host-to-host channels. Bank of America disclosed that it processes more than $450 trillion in payments annually and invests approximately $1 billion each year in payments technology.
Market reaction
Shares of Bank of America rose on the announcement, reflecting investor response to the expansion of the bank’s payments capabilities. The company framed the service as supporting scalability and reliability for clients moving funds internationally while aiming to limit additional operational burden.
Summary of the offering
- Launch next quarter of a cross-border real-time payments solution for corporate, commercial and financial institution clients.
- Access via Swift or CashPro; supports APIs and host-to-host channels.
- Connections planned to SPEI (Mexico), Faster Payments Service (UK), and UPI (India); inbound real-time receipts into the U.S. are supported.
- Features include real-time tracking, full-principal delivery with no deductions, and pre-validation to reduce failures.
Note: The article reflects the information released by the bank and does not add facts beyond those provided in the announcement.