UK adults embracing faster payment methods

An increasing number of individuals in the UK are using after hours banking as a result of the Faster Payment methods, which were introduced five years ago, according to new research by the Payments Council.

Almost two-fifths of people (39 per cent) who use internet or phone banking make payments after 5pm during the week, while one in five (21 per cent) move money at the weekend. One in nine people (13 per cent) even say they often make payments after midnight.

The UK is one of only three countries in the world to have a payments service that allows customers to make and receive immediate payments all year round.

Interestingly, 25-34 year olds – known as the ‘generation Y' age group – are the most likely to understand the improvements that have been made to the speed of online payments as they have grown up with the internet as part of their everyday life.

Six out of ten people (60 per cent) in generation Y know how long a Faster Payment takes, compared to just over two in ten (22 per cent) of over-55s. Approval levels among people who use the service are extremely high, with 95 per cent of those surveyed claiming they are satisfied with the speed of payments.

Craig Tillotson, managing director of Faster Payments, said: "Making immediate payments from our computer has quickly become second nature for millions of us; the next step in the continuing success of Faster Payments is bringing payments to every pocket through the new mobile payments platform."

The new mobile payments service will enable secure payments to be made directly to or from an account without the need to disclose the sort code and account number, by simply using a mobile phone number as a proxy. 

Faster Payments allow people to cover their bills at any time in the day, which is useful for those who lead busy lives. The ability to make payments at any time of the day – even at weekends and over holidays – has arguably changed the way people bank for the better.

By Joe White