BankProv Becomes an Early Adopter of the RTP® Network, Allowing Clients to Receive Funds in Real Time

Rhea-AI Summary

BankProv has joined the RTP® network, enabling instant payment receipt for customers. This innovative move positions BankProv as an early adopter of new domestic payment systems, enhancing transaction speed and efficiency. The RTP network allows for immediate settlement and availability of funds, beneficial for clients, particularly in cryptocurrency. BankProv plans to enable payment initiation functionality by the end of 2021, further expanding its capabilities and supporting a high-volume transaction environment.

Positive

• BankProv becomes an early adopter of the RTP network, enhancing transaction speed.
• Immediate payment settlement allows customers access to funds within seconds.
• Partnership with COCC facilitates instant payment receipt for clients.
• Expansion into crypto-related businesses supports high-volume transactions.

Negative

• None.

AMESBURY, Mass., Aug. 18, 2021 /PRNewswire/ -- BankProv, an innovative, commercial bank that finds solutions for business and private clients, has become a receiving bank on the RTP® network, the real-time payments system developed by The Clearing House (TCH) that enables consumers and businesses to send, clear, and settle payments immediately while also providing for advanced messaging capabilities.

"We're proud to be an early adopter of the first new domestic payment rail since ACH was established nearly 50 years ago," said Dave Mansfield, CEO of BankProv.

The RTP network gives the banking industry a modern platform for domestic payments, complete with rich data capabilities and immediate payment confirmation. The system enables instantaneous settlement and availability, so those funds can be used or withdrawn as cash within seconds.

"The Clearing House is excited that BankProv is bringing real-time payments to its customers," said Jim Aramanda, CEO of The Clearing House. "The RTP network is designed to be implemented by all depository institutions, allowing innovative banks such as BankProv to provide new levels of speed and efficiency in transactions that will significantly benefit their customers."

BankProv partnered with its core provider, COCC, to connect to the RTP network so customers can receive payments instantly. Beyond the inherent benefits of joining the network, such as the reduced return risk, continuous uptime, immediate settlement, and traceability, BankProv and other early adopters will help bolster the adoption of the RTP network throughout the United States.

"Our new breed of clients, particularly crypto-related businesses, have a need to move funds quickly to manage valuation risk due to market volatility," said Mansfield. "The RTP network allows us to better support high volume transaction and match their 24/7 business cycle. Beyond the Digital Currency community, the RTP network allows the bank to reduce return risk, enhance reconciliation efforts, and provide immediate settlement of funds."

By implementing the RTP network, BankProv joins a growing number of financial institutions offering advanced new capabilities to their customers. The RTP network currently reaches 60% of U.S. demand deposit accounts and all federally insured depository institutions, regardless of size, can join the network. BankProv plans to implement "send" functionality by the end of 2021 to allow customers to initiate payments from their existing accounts.

About The Clearing House
The Clearing House operates U.S.-based payments networks that clear and settle more than $2 trillion each day through wire, ACH, check image, and real-time payments. It is the nation's most experienced payments company, with a long track record of providing secure and reliable systems, payments innovation, and strategic thought leadership to financial institutions. Most recently, The Clearing House has revolutionized U.S. payments infrastructure with the RTP® network, which supports the immediate clearing and settlement of payments, along with the ability to exchange related payment information across the same secure channel. These RTP capabilities enable all financial institutions to offer safer, faster, and smarter digital transaction services for their corporate and retail customers.  Learn more at theclearinghouse.org.

About BankProv
BankProv, legally operating as The Provident Bank, is a subsidiary of Provident Bancorp, Inc. (NASDAQ: PVBC). BankProv is a future-ready commercial bank for corporate clients, specializing in offering adaptive and technology-first banking solutions to niche markets, including cryptocurrency, renewable energy, fin-tech and enterprise value lending with a focus on search fund loans. We are committed to offering state-of-the-art APIs (application programming interfaces) for all business clients and BaaS (Bank as a Service) partners. Through our offerings, BankProv insures 100% of deposits through a combination of insurance provided by the Federal Deposit Insurance Corporation (FDIC) and the Depositors Insurance Fund (DIF). For more information, visit bankprov.com.

Forward-Looking Statements

Certain statements contained herein constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  Such statements may be identified by words such as "may," "will," "would," "intend," "believe," "expect," "plan," "estimate," "anticipate," "continue," or similar terms or variations on those terms, or the negative of those terms. These statements are based upon the current beliefs and expectations of Company management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors.  Factors that could cause such differences to exist include, but are not limited to: the effects of any pandemic disease, natural disaster, war, act of terrorism, accident, or similar action or event; those related to the real estate and economic environment, particularly in the market areas in which the Company operates; fiscal and monetary policies of the U.S. Government; changes in government regulations affecting financial institutions, including regulatory compliance costs and capital requirements; fluctuations in the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; the risk that the Company may not be successful in the implementation of its business strategy; changes in prevailing interest rates; credit risk management; asset-liability management; and other risks described in the Company's filings with the Securities and Exchange Commission, which are available at the SEC's website, www.sec.gov.

The Company wishes to caution readers not to place undue reliance on any such forward looking statements, which speak only as of the date made. The Company wishes to advise readers that the factors listed above or other factors could affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The Company does not undertake and specifically disclaims any obligation to publicly release the results of any revisions, which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.

Press Contact: Carie Kelly, SVP Virtual Banking  
Phone: (978) 834-8583  
Email: ckelly@bankprov.com

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SOURCE The Provident Bank

FAQ

What is the RTP network and how does it benefit BankProv's customers?

The RTP network is a real-time payments system allowing for instant payment receipt and settlement, providing BankProv's customers with faster access to funds.

When will BankProv implement 'send' functionality in the RTP network?

BankProv plans to implement 'send' functionality by the end of 2021, allowing customers to initiate payments from their existing accounts.

How does BankProv support cryptocurrency businesses?

BankProv supports cryptocurrency businesses by offering rapid fund movement through the RTP network to manage valuation risks due to market volatility.

What percentage of U.S. demand deposit accounts does the RTP network currently reach?

The RTP network currently reaches 60% of U.S. demand deposit accounts.

Who is the CEO of BankProv?

Dave Mansfield is the CEO of BankProv.