Seriously why does it take “3 to 5” business days to take the money from my account when it’s all handled electronically?
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Well in India we have a payment system UPI , which can can pay/trasfer money using QR codes instantly.
And over last few years it eventually moving to be the most widely used channel by public as well as businesses.
Here is a link of article which throws some light on it’ usage.
https://www.livemint.com/Industry/EDjWaxcybiRqqGGnlnPjqN/UPI-transactions-in-October-increases-by-19-in-volume.html?facet=amp
They can and are. Your bank/banking system might be just outdated. Interact person to person payments are instant (and free) in Canada and so are bill payments.
This is mostly a US thing.
In Canada, we e-transfer funds using your email address and it’s instant. The limit is $3000/day. E-Bill payment (and automatic payments) are practically the default means for stuff like utilities, etc. I can’t think of the last time I used a cheque in the past few decades – perhaps a void one just to have the banking info.
I was in the US recently and was shocked that tap/PIN isn’t a thing – folks still take your credit card and you manually sign, or you sign with your finger on the pad. I felt a little weird letting the wait staff take my card.
In Canada, if the price is over a certain amount (was $100 but I think raised to $250), you put your PIN after you tap the card.
They can to a point. The banks can give you the money in your account so to speak based on a promisory note, meaning they are expecting the money from a reputable source, so they will let you have it now. But every transaction actually involves cash, and that has to change hands eventually. Some places won’t do transactions unless that cash transaction can be completed that day.
This is not a thing in the UK,
We have several systems, the one that is most popular is the Faster Payments system, that most banks are members of, and allow payments to be made almost instantly, but with a max time of 2 hours, this has a limit of £1 million. This allows one person to send money to another person with just their name, account number and sort code. This can be done online, app, or mobile.
We also have the CHAPS system, which is for higher sums of money, but has a small fee (£30).
The reason for this is that all banks in the UK must abide by the Payment Services Directive, which mandates that any payments made by mobile, app, or internet banking must arrive by the following business day.
We’ve had faster payments for 15 years.
As to why? It’s because they don’t want to make laws to enforce it.
Read more [here](https://multipass.co/help-centre/knowledge-base/swift-sepa-bacs-chaps-and-faster-payments-what-s-the-difference)
It has been here in europe for a long time now…
Most recent change is that you can treansfer money to anyone 24/7 within 5 minutes.
It did take a lot of arm twisting and the threat of regulation to get this fixed in the UK with the wonder that is the Faster Payments’ system. Now I can transfer money and it take seconds for it to land in the destination account. Banks dragged their heels and would have held onto 3-day clearing and the interest if left to their own devices. The EU also helped with SEPA and various payments’ directives.
The US banking system is antiquated with checks and slow transfers. The banks need a kick.
I use Intuit QuickBooks payroll and it’s very strange that I can setup payroll as late as 11 am on a Friday for it to be deducted from source account and deposited in employees within the same business day. Not sure how exactly that works because any other bank to bank transfer take 5 business days.
In my country we have instant payments to both individuals and businesses with 0 fees. To bad we got fucked up by visa and mastercard, so international payments are a pain in the ass.
What? They can? At least in my country we do. We have e-invoices and auto-drafts (I don’t know how to translate, I hope you understand what I’m saying) and you can choose which one. E-invoices you have to just agree to (just press “Submit” and it pays it instantly). We also haven’t had checks since the 80s and 95% of all purchases are done by card, either debit or credit. I have my cards on my phone, as in Apple pay, so I don’t even need to carry them. I’m sorry your system is so old 😂
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