In today's digital economy, consumers and businesses demand immediate access to their funds and the ability to move money seamlessly. According to recent Federal Reserve Financial Services surveys (Off-site), 58% of consumers reported using digital wallets to meet their needs for fast, flexible payments.

Despite their prevalence as a convenient payment option, digital wallets’ functionality can be undercut by payment rails that take time to clear and settle, especially when consumers want to move funds into or out of wallets. Any lag in making wallet funds available can lead to cash flow challenges and a frustrating experience for digital wallet users.

For Laura Miller, chief revenue officer and global head of e-commerce at Nuvei, solving for this delay is a priority. “Digital wallets are only as powerful as the infrastructure behind them,” Miller said. “These wallets are quickly becoming a core payment option with strong demand, so reducing friction while optimizing the speed and availability of funds is paramount. That’s where the FedNow^® Service comes in.”

By enabling instant transfers, the FedNow Service allows digital wallet providers to offer immediate access to funds, boost user satisfaction, and drive user growth and engagement with their digital wallet products and services.

Read the full article for insights from executives from Nuvei and Trustly on the impact instant payments can have on digital wallets.