Traditional bank transfers have some limitations. They are normally only processed during normal business hours and do not reach the recipient until the next working day. This can sometimes lead to delays of up to three days, especially if there is a weekend in between. On the other hand, there are the so-called instant payments or instant transfers, which make it possible to transfer money in just a few seconds. However, there are still significant differences between EU Member States regarding the availability of these instant payments and the associated costs.

The European Central Bank (ECB) plays a crucial role in promoting and implementing instant payments, also known as instant transfers, within the Eurozone. Her commitment is particularly evident in the development and implementation of the TARGET Instant Payment Settlement (TIPS) system.

TIPS is a payment system introduced by the ECB that allows transfers to be processed in real time 24 hours a day, seven days a week. It is a Eurocentric system, which means that it is geared towards transactions in euros. The aim is to make payment transactions more efficient and cost-effective.

A key aspect of TIPS is that the system does not incur any additional costs for use. This is an important step towards more cost-effective payments, especially for cross-border transactions, which often come with significant fees.

The ECB is also actively working to encourage consumer and business acceptance of instant payments. She works closely with banks and other financial institutions to ensure these services are widely available and that consumers and businesses recognize and take advantage of the benefits of instant payments.

In addition to providing and promoting instant payments, the ECB also plays an important role in ensuring the security of these transactions. It sets strict standards and regulations to prevent fraud and abuse and increase consumer confidence in these types of payments.

At first glance, the introduction of instant transfers without additional costs in the EU brings a multitude of advantages for both consumers and companies.

For consumers, the introduction of instant transfers without additional costs primarily means convenience and cost-efficiency. You can make payments instantly, any time of day or night, without fear of additional fees. This is particularly useful for people who regularly send money to recipients in other EU countries, as transactions are processed quickly and cheaply.

For companies, the introduction of Sofortüberweisung can improve cashflow and reduce administration costs at no additional cost. Businesses can receive payments from customers instantly, which can eliminate the need to wait for payments to be processed. This can help improve liquidity and increase business efficiency.

Although there are undoubtedly many advantages to introducing instant transfers without additional costs in the EU, there are also challenges. One of them is the need to ensure the security and protection of consumers in these transactions. The EU and its Member States must continue to invest in improving security protocols and standards to fight fraud and cybercrime.