Borrowing allows consumers access to funds they need to cover major expenses or manage debt. Because of the high stakes of these expenses, timely fund receipt is crucial. Instant payments are increasingly vital to ensuring timely, secure borrowing transactions, with both consumers and lenders showing a growing preference for them.
In our most recently collaboration, PYMNTS Intelligence data indicates a significant rise in instant loan disbursements over the past year, with nearly half of such payouts being instant as of January.
Consumer loans lead in instant payment adoption, reflecting a surge in the availability of instant options from lenders. Our report “Generation Instant: Leveraging Instant Pay to Streamline Borrowing Disbursements,” (created by PYMNTS Intelligence and Ingo Payments) explores these trends.
Based on a survey of 3,898 U.S. consumers conducted between Dec. 28 and Jan. 22, the report highlights increasing consumer interest and satisfaction with instant payment methods for disbursements from various entities.
Key findings include:
- 44% of borrowing disbursements were received instantly by January, up from 34% the previous year.
- 64% of consumer loan recipients were offered instant payment options.
- Instant payment usage for consumer loans rose to 48% by January, a 15 point increase from January 2023.
- 73% of consumers are highly willing to pay a fee to receive consumer loan disbursements instantly.
Instant payment use has surged across all disbursement types, with borrowing disbursements seeing the most significant increase. Consumer loans show the highest growth in instant payments, outpacing personal and debt consolidation loans.
For lenders, offering instant payment options is becoming essential to stay competitive. The growing consumer demand for instant loan payouts underscores the need for lenders to adopt these solutions.
Download the report for more insights into the rising trend of instant borrowing disbursements.
