RTP (Real-Time Payments)
RTP (Real-Time Payments) is the real-time payment network operated by The Clearing House, enabling instant, irrevocable payments between bank accounts 24/7/365 in the United States.
RTP launched in 2017 and is operated by The Clearing House (owned by major US banks). It enables instant credit transfers — the sender's bank deducts funds immediately, the recipient's bank credits funds immediately, and the transaction is irrevocable.
Key RTP characteristics: instant credit (funds available in seconds), irrevocable (no chargebacks), 24/7/365 availability, current limit of $10M per transaction, request for payment (RFP) capability for invoice-based workflows, rich remittance data capacity.
For embedded finance programs, RTP enables use cases that ACH cannot support: instant supplier payments, immediate loan disbursements, real-time insurance claims, and time-sensitive B2B payments. The economics differ from ACH — RTP fees are typically higher per transaction but enable premium pricing for speed.
RTP vs. FedNow: both are real-time payment networks. RTP is operated by The Clearing House and launched first (2017). FedNow is operated by the Federal Reserve and launched in 2023. Both use similar mechanics; interoperability between the two is limited but growing.