Comerica Bank Ushers in New Era of RTP® Through New On-Behalf-Of (OBO) Payment Solutions
Comerica Bank and client Monex USA work together to introduce new OBO capabilities.
DALLAS, June 16, 2025 /PRNewswire/ -- Comerica Bank "Comerica" announced it will become an early adopter of The Clearing House's revised rules for domestic On-Behalf-Of (OBO) payments on the RTP® network, the largest and most utilized instant payments network in the United States operated by The Clearing House. Comerica Bank, and its client Monex USA, a leading provider of international payments, corporate FX and currency risk hedging services, took part in one of the first OBO payments under the revised rules, reinforcing Comerica's dedication to delivering instant payment solutions designed for speed, efficiency and flexibility for both direct and indirect customers.
OBO payments are RTP transactions originated by a sender to make a payment for another person (i.e., on behalf of that other person). The sender is the titled owner of the account from which the RTP payment is sent. The new rules replace existing requirements for Payment Service Providers and apply more broadly to intermediated RTP activity, introducing a consistent framework focused on payment transparency, due diligence, risk management and fraud reporting obligations.
"Introducing this new capability is a testament to Comerica's commitment to providing our customers seamless, on demand access to funds, both for themselves and their own customers," said Allysun Fleming, Comerica Bank Executive Director of Payments. "RTP OBO payments unlock real-time disbursement use cases at scale, such as payroll and benefits, marketplace payouts, embedded payments, and more. We are excited to participate in an ecosystem that enforces transparency of funds."
A comprehensive risk management framework for OBO payments on the RTP network broadens the benefits of RTP payments through enhanced oversight of intermediary payments providers. Through the new requirements, the RTP network strengthens participants' ability to manage risk for growing payment use cases and will increase momentum for the 24/7 real-time payment network that already processes more than one million transactions per day for more than 950 banks and credit unions.
"Comerica was one of the first banks to join the RTP network and they continue to be an instant payments early adopter by offering OBO capabilities to customers," said Jim Colassano, Senior Vice President of RTP Business Product Management at The Clearing House. "We are excited to see how Comerica will utilize OBO payments to provide innovative capabilities to its customers, such as Monex USA."
Monex USA is a digital payments platform designed for managing foreign currency and global transactions securely and conveniently. RTP OBO payments for domestic transactions will enable Monex USA to facilitate instant payments at scale, greatly simplifying their operational process and providing enhanced transparency end to end.
"As Monex USA deepens its investment in advanced payment systems to harness the intersection of technology and digital commerce, RTP strengthens our value proposition by delivering not only speed, but also greater control and transparency – empowering clients with real-time insights and enhanced decision-making capabilities," said John Doyle, CEO of Monex USA.
The introduction of OBO payments is part of Comerica's efforts to deliver real-time financial tools and solutions aimed at supporting businesses and enhancing the customer experience. For more on Comerica's payment solutions, visit www.comerica.com.
About Comerica BankComerica Bank, a subsidiary of Comerica Incorporated (NYSE: CMA), is a financial services company headquartered in Dallas, Texas, and strategically aligned by three business segments: The Commercial Bank, The Retail Bank and Wealth Management. Comerica, one of the 25 largest commercial U.S. financial holding companies, focuses on building relationships and helping people and businesses be successful. Comerica provides banking centers across the country with locations in Arizona, California, Florida, Michigan and Texas. Founded on Aug. 17, 1849, in Detroit, Michigan, Comerica continues to expand into new regions, including its Southeast Market, based in North Carolina, and Mountain West Market in Colorado. Comerica has offices in 15 states and services 13 of the 15 largest U.S. metropolitan areas, as well as Canada and Mexico. Comerica reported total assets of $77.6 billion at March 31, 2025. Learn more about how Comerica is raising expectations of what a bank can be by visiting www.comerica.com, and follow us on Facebook, X, Instagram and LinkedIn.
About Monex USAMonex USA has provided corporate clients with industry-leading foreign exchange and international payment solutions for over 25 years. Monex USA is part of the wider financial services group controlled by Monex S.A.P.I. de C.V. (formerly Monex S.A.B. de C.V.) ("Monex"), a global investment-grade financial services institution. Founded in 1985, the Monex Group is a global financial services organization that services more than 70,000 clients worldwide. In 2024, Monex managed US $309 billion in deliverable FX trades and US $11.1 billion worth of assets. Through its subsidiaries, the group offers financial services in key financial centers worldwide throughout North America, Latin America, Europe, and Asia, and employs over 2,800 people globally. As part of the Monex Group, Monex USA is headquartered in Washington, DC, with offices in New York City and Beverly Hills. Learn more at MonexUSA.com.
About The Clearing HouseThe 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. In 2017, The Clearing House revolutionized U.S. payments by introducing 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 www.theclearinghouse.org.
View original content to download multimedia:https://www.prnewswire.com/news-releases/comerica-bank-ushers-in-new-era-of-rtp-through-new-on-behalf-of-obo-payment-solutions-302482433.html
SOURCE Comerica Bank
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
18 minutes ago
- Yahoo
The board decision that sent the MLB, NFL unions into controversy
Last June, eight members of the board of directors for a licensing group called OneTeam Partners, which is co-owned by the players unions for five major sports leagues, signed a resolution that would have included the member unions in a plan to receive 'profits units.' Those units, like traditional equity, could be turned into cash if the company did well. It was a move that raised alarms within at least one of the unions. Advertisement By late 2024, an official at the National Football League Players Association had repeatedly raised concerns that implementing the plan could mean that labor officials serving on OneTeam's board of directors — including the head of the NFL players union, Lloyd Howell Jr., and the leader of the Major League Baseball players union, Tony Clark — were attempting to make a change that could lead to their own financial gain, potentially at the expense of union members. The resolution, which was obtained by The Athletic, called for any eventual payouts — made through what is known as a senior employee incentive plan (SEIP) — to go to the unions the board members hail from. The resolution also directly acknowledged the possibility that the unions could then grant that money to their board members. 'The explicit goal throughout the process was to financially enrich the individuals who serve on the OTP Board as labor organization representatives,' the NFLPA official wrote to lawyers in a communication criticizing the plan, which was reviewed by The Athletic. '… the idea was to pay the money into the unions, then the individuals.' In a statement to The Athletic, OneTeam said that though the plan was considered, it was ultimately abandoned. Advertisement 'In early 2024, OneTeam initiated an exploratory review to determine whether the company could lawfully offer incentive-based compensation to current and prospective Board members,' OneTeam Partners said. 'This exploratory effort was part of a broader initiative to assess strategies for attracting high-caliber, independent talent. 'Following the legal advice of a labor law expert, it was determined that the best practice, if implemented, was to make grants to the respective players associations. In so doing, any future payments would be governed by each union's player-approved bylaws, policy, and governance frameworks. It added: 'To be unequivocally clear: no OneTeam board member, nor any union employee, was directly or indirectly granted equity in OneTeam, holds equity in OneTeam or is a participant in its SEIP and any claim to the contrary is simply misinformed and false.' Federal authorities are conducting an investigation related to OneTeam Partners and union officials. The full scope of the probe, which is being run out of the Eastern District of New York, is unclear. The Eastern District of New York declined to comment. Advertisement Five major sports unions hold stakes in OneTeam, the two largest belonging to the NFLPA and the Major League Baseball Players Association, which together own two-thirds of the company, according to people briefed on the business structure who requested anonymity because they were not authorized to speak publicly. The NFLPA has 44 percent, the MLBPA 22 percent. The unions representing players in Major League Soccer, the U.S. Women's National Soccer Team and the Women's National Basketball Association own much smaller shares in OneTeam: 3.3 percent for MLS, .3 percent for the USWNTPA, and .2 percent for the WNBA, according to one of the people briefed on the structure. Early this month, the FBI started calling MLB and NFL players or their representatives. Prosecutor David Berman is heading the federal investigation, said people briefed on its process who were not authorized to speak publicly. With a federal investigation underway, the NFLPA has retained outside counsel separate from the outside lawyers retained by its executive director, Howell. Howell's lawyer did not reply to requests for comment. 'We're guided by our responsibility to our members in everything we do and we will continue to fully cooperate with the investigation,' the NFLPA said in a statement to The Athletic. Advertisement The MLBPA declined to comment Friday. That union too has retained outside counsel separate from its leader, Clark. His attorney did not return requests for comment. The NFLPA official who voiced concern about the incentive plan wrote that they were concerned about the potential for various conflicts of interest. The official argued internally that the change to the plan could dilute the players' existing stakes, which they held via their unions. The official also questioned whether the players were informed of how their financial interests might be affected. The NFLPA official's email with lawyers shows talk of changing OneTeam's SEIP dated to 2023, when a new CEO took over. In March 2024, OneTeam asked outside counsel whether there would be any issues granting union officials on its board participation in a SEIP, according to the same email. In response, the official wrote, the law firm flagged concerns regarding the National Labor Relations Act were any units to be granted directly to union board members. Plans like SEIP are common in the business world. Companies use them to reward and lure top leaders, and the programs often grant traditional shares in a company. Private companies in particular will often grant something that operates similarly to shares but is not traditional equity, according to Chris Crawford, managing director for the executive compensation practice at the firm Gallagher. Advertisement 'It's not a publicly traded, readily tradable environment,' Crawford said. 'It gets into these third-party transactions that get a little bit messy. The most common is by a generic term called 'phantom stock.'' Hence OneTeam's use of 'profits units.' But ultimately, OneTeam is not a common business because it is largely owned by unions. Union officials have legal obligations to their members and their members' interests, and most unions don't have for-profit arms with the overlay of those governance concerns. 'The labor organizations' representatives on the OTP Board are there as FIDUCIARIES representing their union members' direct ownership interests in the Company — their legal duties are not to the Company generally, but rather their union members' ownership in the company,' the NFLPA official wrote in the email to lawyers. Advertisement The union officials have their positions on OneTeam's board because of their union roles, positions for which they are already compensated. Howell was paid $3.6 million by the NFLPA for the 12 months from March 2024 through February 2025, according to the union's annual disclosure filed with the Department of Labor. Clark was paid $3.5 million for the 2024 calendar year, per the baseball union's filing. The NFLPA has four seats on OneTeam's board, and the MLBPA has three seats. Both Howell's and Clark's signatures appear on the resolution to change OneTeam's senior employee incentive plan. The unions representing players in MLS, the USWNT and the WNBA share one seat on the board that rotates. Only the signature of Becca Roux, the head of the USWNTPA, appears on the resolution from last year. Roux, as well as Bob Foose, head of the MLSPA, and Terri Jackson, head of the WNBPA, have hired Steve McCool of McGuireWoods as outside counsel. Advertisement 'I notified the prosecutor in New York that I represent a number of OTP board members,' McCool said by phone Friday. 'My clients have no cause for concern and they are available to answer any questions the government may have about this matter.' Outside investors own the remaining 30 percent of OneTeam that is not owned by unions. The SEIP resolution called for the NFLPA to receive 44 percent of the new plan units available to the board, and the MLBPA 33 percent. The other three unions were in line to receive 3.7 percent each. The outside investors on the board were not going to receive any new incentive units, the resolution said. Such an arrangement has the potential to create at least the appearance of a conflict of interest, according to Lee Adler, a labor lawyer with no involvement in the matter who has long worked as counsel to unions. Advertisement 'Is there something in that set of criteria for the incentive that might have some influence on how or what the union officials who sit on the board actually end up … legislating (at OneTeam)?' asked Adler, a lecturer at the Cornell University School of Industrial and Labor Relations. NFLPA employees said at a meeting in November 2024 that they expected payments via SEIP would be $200,000 to $300,000, the NFLPA official wrote in the email. Sports unions have moved aggressively to capitalize on their players' branding rights. The MLBPA and NFLPA were among the founders of OneTeam in 2019. Both unions already had for-profit arms that handled licensing business, and those arms still exist today. But they were betting that a company with aggregated rights would have greater leverage. The venture has been a boon not only for the unions but also for the private equity investors who partnered with them. RedBird Capital cashed out its 40 percent stake in 2022, when the company had a $1.9 billion valuation. The windfalls from name, image and licensing rights carry a slew of gains for athletes, including bolstering traditional labor objectives like collective bargaining. The NFLPA reported about $101 million in revenue from OneTeam from early 2024 into 2025, and the MLBPA about $45 million for 2024. But both the baseball and football unions have been wrapped up in public controversy this year over, in part, OneTeam. Advertisement Late last year, an anonymous complaint filed with the National Labor Relations Board levied allegations at Clark, including concerns over equity from OneTeam. The football union, where internal complaints had already been lodged, then brought on an outside firm, Linklaters, to conduct a review. The NFLPA has not publicized that firm's findings. But in March, in an email reviewed by , Howell notified OneTeam's board of directors that Linklaters found the NFLPA and OneTeam had been in compliance. This article originally appeared in The Athletic. NFL, MLB, MLS, WNBA, Sports Business 2025 The Athletic Media Company
Yahoo
24 minutes ago
- Yahoo
Chime versus SoFi: Which Is the Better Fintech Stock Right Now?
Chime operates an online banking platform that is similar to SoFi. SoFi is acquiring new members, increasing revenue, and accelerating profit at a pace superior to the competition. 10 stocks we like better than SoFi Technologies › It's been a hot couple of weeks for the fintech sector. Digital banking platform (NASDAQ: CHYM) and stablecoin operator Circle (NYSE: CRCL) both completed initial public offerings (IPOs) in which shares of both companies soared. While artificial intelligence (AI) is still the biggest megatrend fueling the stock market right now, the back-to-back IPOs from Circle and Chime have brought some renewed interest to the financial services arena. Given the overlapping business models of Chime and SoFi Technologies (NASDAQ: SOFI), another budding neobank, investors may be wondering which stock is the better buy right now. Let's assess Chime and SoFi from both an operational and valuation perspective. After doing so, I think smart investors will be able to determine a clear winner between the two digital banking platforms. SoFi offers many of the same financial services products that you may see at traditional banks. By offering lending, insurance, and investment management, SoFi has proven that it can compete with legacy banking providers by offering a similar, diversified portfolio of products. The main differentiator between SoFi and most of its competitors is that the company operates entirely online and lacks physical brick-and-mortar infrastructure. By creating a one-stop shop for financial services, SoFi is offering a level of convenience that is hard to match. In turn, SoFi is not only able to keep its customers loyal to the platform, but also has leveraged its comprehensive ecosystem by cross-selling additional services to existing members. SoFi refers to this strategy as its financial services productivity loop -- essentially building a model in which the lifetime value of customers increases over time, ultimately creating a competitive advantage over incumbent providers. At the end of the first quarter, SoFi boasted 10.9 million customers on its platform that use a total of 15.9 million products. This implies that each user in SoFi's network is using 1.4 products on average. As the chart above illustrates, SoFi's business model is paying off in spades, underscored by accelerating revenue growth and a transition to consistent profitability. While SoFi's business is rocking, Chime doesn't appear too far behind. In the table below, I've summarized a number of financial metrics and key performance indicators for SoFi and Chime. Category SoFi Chime Revenue -- Trailing 12-month ($) $2.8 billion $1.8 billion Members 10.9 million 8.6 million 3-year membership compound annual growth rate (CAGR) 41.3% 22.3% Net income (Trailing 12-Months) $482 million ($28.3) million Market capitalization (as of June 18) $17 billion $10.6 billion Data source: SoFi Investor Relations and Chime S-1 Filing. The obvious takeaway from the figures above is that SoFi is a larger business than Chime in terms of revenue. This is not entirely surprising, given that SoFi's platform boasts more than 2 million more members than Chime. The more subtle factor that I'd like to point out is that SoFi is far more profitable than Chime. Perhaps the biggest contributor to SoFi's profitability profile is the rate at which it is acquiring new members relative to the competition. Per the table above, SoFi's three-year compound annual growth rate (CAGR) for user acquisition is almost double that of Chime's. By onboarding more users, SoFi has been able to more quickly monetize these members and command superior unit economics compared to its peers. While Chime's growth is impressive, the company lags behind SoFi on a number of critical metrics. While I suspect that Chime may see a brief uptick in its operations thanks to the notoriety that came with the IPO, I question if the company will ever eclipse SoFi's size. Although SoFi is a bit pricey compared to traditional bank and financial services stocks based on its price-to-earnings (P/E) ratio, I think the shares deserve a premium due to the company's technology-first platform. I see SoFi growing into its valuation thanks to future earnings growth. If I had to choose between the two digital bank stocks explored here, I'd pick SoFi without thinking twice. Before you buy stock in SoFi Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and SoFi Technologies wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 JPMorgan Chase is an advertising partner of Motley Fool Money. Wells Fargo is an advertising partner of Motley Fool Money. Adam Spatacco has positions in SoFi Technologies. The Motley Fool has positions in and recommends JPMorgan Chase and PayPal. The Motley Fool recommends Capital One Financial and recommends the following options: long January 2027 $42.50 calls on PayPal and short June 2025 $77.50 calls on PayPal. The Motley Fool has a disclosure policy. Chime versus SoFi: Which Is the Better Fintech Stock Right Now? was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
24 minutes ago
- Yahoo
BofA outlines the bull and bear arguments surrounding IBM shares
- Shares in International Business Machines (NYSE:IBM) has surged so far this year, spurred on by hopes around the software group's artificial intelligence ambitions. IBM has said that it now has a "book of business" for its ChatGPT-like generative AI that is worth $6 billion, while CEO Arvind Krishna has said that customer interest in utilizing different AI models would likely fuel demand in the future. The company has also been specializing in developing tools that allow clients to build out their own AI-enhanced agents. Speaking to Reuters in May, Krishna suggested that, using IBM's Granite suite of AI models, along with alternatives from Mistral and Facebook-owner Meta Platforms (NASDAQ:META), these agents could be constructed in mere minutes. These capabilities will lead to an acceleration of the rate of growth of its AI operations, Krishna said at the time. The comments came after IBM announced in April that it would invest some $150 billion in the United States, where it has long had a presence as a manufacturer of mainframe computers. Krishna noted that quantum computers -- a new type of computer that harnesses quantum mechanics to carry out tasks -- will also be made in the country. "There's going to be a very healthy market that behooves us to invest and lean in," Krisna told Reuters. Yet, even as optimism surrounds IBM's AI ambitions, a murky economic outlook clouded its most recent earnings. Faced with the looming threat of sweeping U.S. tariffs, analysts have warned that many companies may be reining in spending, potentially weighing on IBM's key consulting arm. A push by U.S. President Donald Trump's administration to slash government spending has also led to the shelving of 15 federal contracts at IBM that accounted for $100 million in business. Revenue from the consulting segment slipped in the most recent quarter by 2%, although IBM backed its 2025 target for top-line growth on a constant currency basis of at least 5%. Writing in a note to clients, analysts at BofA led by Wamsi Mohan said that IBM shares, despite trading at all-time highs, are "interesting due to the transformational initiatives undertaken by management." "IBM underwent a significant transformation over the last five years by shifting their software segment towards strategic M&A investments, shedding lower growth/high cost businesses, and rebalancing their portfolio towards cloud and AI trends," the brokerage wrote. However, they flagged that less rosy assessments of the stock have highlighted that IBM is "structurally under-owned and underweight." "This disconnect stems from the underperformance from 2010-2019 as revenues, margins and free cash flow were under pressure. While the turnaround [from 2020-2025] is acknowledged by bears, the valuation relative to growth profile remains a hurdle for many," the analysts said. Weighing these arguments, the BofA strategists lifted their price target for the stock to $320 from $290 and reiterated their "buy" rating of the stock. Related articles BofA outlines the bull and bear arguments surrounding IBM shares UBS identifies key thematic opportunities for stock market investors This sector is uniquely positioned to capture infrastructure spend growth: analyst Sign in to access your portfolio
