The Benefits of Push to Card: Fast and Convenient Payments Explained

What Is a Push to Card Payment?

A push to card payment is a digital disbursement method that allows a payer to send money directly to a recipient’s debit card or credit card. Unlike pull payments, which are authorized by the payee, push to card payments put the payer in control, allowing them to initiate transfers. Push to card payments leverage card networks like Visa or Mastercard to provide real-time transfers, enabling recipients to access their funds immediately.  

How Push to Card Payments Work

Push to card payments use card networks to transfer funds directly to recipients’ accounts. First, the request is sent through a card network such as Visa or MasterCard, and the recipient’s card details are confirmed. Funds are then deposited directly into the recipient’s account linked to the card. Push to card payments can be facilitated through services like Visa Direct and Mastercard Send. 

Benefits of Push to Card Transactions

40% of companies used push to card payments in 2024, a 10% increase from the previous year. Driving this growth are the significant advantages that push to card payments offer businesses and consumers, including: 

• Instant money transfers: Push to card payments offer quick and secure transfers, often in seconds. Companies will be ready to meet demand for fast gratification in today’s digital economy, improving consumer satisfaction and loyalty. 

• Reduced costs: Push to card payments are more cost-effective than traditional payments, such as checks. They can be employed in a variety of use cases previously dominated by checks, including issuing refunds and paying contractors. 

• Greater efficiency: Push to card payments help reduce the need for manual tasks such as mailing checks, freeing up administrative staff to focus on other priorities. They also help with cash flow management by transferring funds immediately—no more waiting for checks to clear.

• Enhanced security: Push to card payments involve advanced security features that keep each recipient's debit card details safe and minimize the risk of fraud.  

Use Cases for Push to Card Payments

Pushing funds to a card offers an instant, secure, and cost-effective alternative in use cases long dominated by checks and other traditional payment methods. These use cases may include: 

• Insurance claims: Push payments can be used to reimburse policyholders more efficiently, providing instant access to funds. 

• Compensation and gig worker payouts: 70% of employees would be interested in receiving same-day pay, according to a study by Onbe and TimeForge. Push to card payments can be used to pay workers instantly, providing them with real-time access to their earnings. 

• Merchant settlements: Push to card payments can be used to improve settlement speeds by sending sales proceeds directly to a merchant’s card account. 

• Funds disbursement: Push payments can be used by businesses and government authorities to make fund transfers to individuals for various purposes.

Push to Card vs. Pull Payments

Push to card payments are the opposite of payments in which funds are pulled from a card. Pull payments are initiated by the payee, who collects funds from the payer’s account. An example is direct debit, in which a company pulls funds from a customer’s bank account—such as in the case of monthly utility bill payments.  

In contrast, push to card payments are initiated by the payer, who transfers funds to a recipient’s credit or debit card. Push transactions offer more control to the payer, while pull payments provide more control to the payee. Because each payment method may be used in different circumstances, many businesses rely on both.  

Implementing Push to Card Payments in Your Business

Push to card payments offer a convenient real-time payment method for businesses that need to pay their customers or workers. If your business is ready to implement push payments or other modern payment methods, the following steps can help you start the process: 

• Assess your needs: Determine if faster payment processing is crucial for your operations. If your business makes payouts at a high volume, there’s an opportunity to reduce costs and improve efficiency by switching to a modern payment solution. 

• Choose a provider: Select a payment processor that supports push to card capabilities and offers the features you need. For instance, Onbe enables origination in USD and CAD to U.S. and Canadian bank accounts and cross-border transfers, as well as a full suite of managed services to support your business. 

• Compliance and security: Ensure that your chosen solution complies with regulatory standards and prioritizes data security to protect your business and recipients. 

• Integration: Work with your IT team to integrate your push to card services. Various integration options may be available, depending on the level of customization you are looking for. 

Key Players in the Push to Card Ecosystem

The push to card ecosystem relies on card networks, financial institutions, and payment service providers. Learn more about each player: 

• Card networks establish the rules and technology for making push to card transactions. 

• Acquiring financial institutions are approved by card networks to originate push to card payments. 

• Payment service providers facilitate card payouts and enable businesses to send payments to various countries using different payment methods and currencies. 

Future Trends in Instant Payment Systems

One in four U.S. consumers say they are challenged by slow payments—so it’s no surprise that the majority of Americans have used faster or instant payment methods to speed up the process. With the increasing popularity of digital payments enabling quicker and more seamless transactions, the U.S. payments landscape continues to evolve accordingly. 80% of businesses now use faster payments, and most say they expect to use these methods more often in the future. 

Push to card payments are part of this evolution. They help to facilitate payments in seconds—including fast, secure cross-border transactions that break down barriers to global commerce. With push to card capabilities, businesses can keep up with the latest payment trends and enable fast, innovative experiences that drive recipient satisfaction. 

Security and Compliance

Payment fraud is on the rise, with 80% of organizations reporting fraud attacks or attempts according to the most recent data from the Association for Financial Professionals.  

Fortunately, not all payment methods are equally vulnerable to fraud. Push-to-card payments use security measures such as encryption and tokenization to protect consumer data and deter bad actors. Additional fraud detection tools as well as anti-money laundering (AML) and Know Your Customer (KYC) measures add extra security to push to card solutions. 

Payment service providers such as Onbe must also comply with regulatory standards and prioritize data security. Working with a third party that offers push to card services can help businesses reduce their compliance and security risk, which in turn brings their customers peace of mind.  

Learn about security and compliance at Onbe. 

Getting Started with Push to Card Payments

Push to card payments offer businesses a fast, secure way to disburse funds to their recipients, making this method a popular option for issuing disbursements, compensation, incentives and more. Onbe supports push to card and other modern options such as ACH transfers and prepaid card solutions, enabling you to meet the growing demand for choice, convenience and instant access to funds. Contact us to discuss your payment needs and take the next step toward implementing your push to card solution. 

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