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September 2025 • Issue 25:09:02

An accelerated era in payments is here

credit unions.
Jack Henry recently launched a cloud native digital
payments solution called Tap2Local, which Robert Hewlett,
senior managing director at the company described as
"complementary to the ISO and agent channel."

He used the example of a merchant that has a relationship
with an ISO or agent for in-person and/or ecommerce sales
working a local flea market. Leveraging the NFC technology
in the merchant's phone in much the same way they might
use Google Pay or Apple Pay, Tap2Local, an app available
from the merchant's bank, integrates with banking services
and incorporates an automated accounting feature.

The biggest changes to the payments landscape, however,
are yet to come, as agentic commerce reshapes the online
By Patti Murphy shopping experience. "Agentic commerce is more disruptive
than anything we've seen in 30-plus years," said Richard
he payments landscape looks profoundly dif- Crone of Crone Consulting LLC.
ferent from the way it did 25 years ago. From
contactless card payments to virtual cards and Putting things into perspective
T digital wallets, the 21st century has ushered in
relentless innovations, driven by widespread adoption of The digital wallet market has seen explosive growth,
smartphones and the proliferation of financial technology expanding nearly tenfold, from $1.6 trillion in 2014 to $15.7
firms. trillion in 2024, according to Worldpay.

Digital payments, once considered "alternative" are now the In a new report, Virtual card and digital wallet market report,
dominant online payment option and are gaining ground 2025, UPay Technology Ltd. projects that consumer digital
for in-store payments as well. According to the Worldpay wallet spending will exceed $28 trillion by 2030. Digital
Global Payments Report, digital payments have grown from wallets are expected to capture 79 percent of online
34 percent of ecommerce value in 2014 to 66 percent in 2024. spending and 47 percent of in-person transaction value by
The mobile payments share of ecommerce tripled from 19 2030.
percent to 54 percent during that same period.

Meanwhile, real-time payments, same-day ACH and virtual
cards are changing the way businesses transact with other Contributed articles inside by:
businesses, putting pressure on financial institutions to up
their payments games.
Allen Kopelman .....................................................................................16
"The changing payments landscape, with new rails coming Chad Otar ................................................................................................18
on board, it's important for banks and credit unions [and
their clients] to receive as many types of payments and Ken Musante ..........................................................................................26
form factors and use as many rails as possible," said Jennifer Menno Hoekstra ...................................................................................28
Geis, senior strategic advisor at Jack Henry, which provides
backend technology support for community banks and Viktoria Soletsz ......................................................................................30

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