To reinforce the Federal Reserve’s authority to create a real-time payments system and mandate that the Fed brings about its own process, two U.S. representatives and two U.S. senators have introduced the Payment Modernization Act of 2019. The legislation was brought forward by Congresswoman Ayanna Pressley (D-MA), Senators Chris Van Hollen (D-MD) and Elizabeth Warren (D-MA), and Congressman Jesús “Chuy” García (D-IL), according to an announcement.
Americans lose billions every year in overdraft fees, which causes consumers to turn to financial products that are more expensive “because of our inefficient payments system,” per a press release from Pressley’s office. Pressley, who is a House Financial Services Committee member, “held Federal Reserve Chairman Jerome Powell accountable for the Federal Reserve’s slow-walking implementation of a real time payments system.” The announcement said that “Pressley reaffirmed that a faster payments system is a public good, if not a right” during a line of questioning.
U.S. Rep Pressley said in the announcement, “Thousands of people in the Massachusetts 7th [district] live paycheck to paycheck and cannot afford to wait days for their checks to clear. The Federal Reserve Bank has a responsibility to respond to the needs of the American public, such as establishing an inclusive and faster payments system. Our bill, the Payment Modernization Act of 2019, will ensure that the Federal Reserve speeds up the process of clearing payments so that all hardworking Americans can access and move their money quickly, safely and securely 24/7/365.”
U.S. Senator Van Hollen said, according to the announcement, “Every day that passes without a better payments system in place puts the United States farther behind other major economies, and millions of working Americans – especially those living paycheck to paycheck – are paying the price. That’s why I’m teaming up with my colleagues to introduce this bicameral legislation, which will ensure that the Fed acts without delay to develop a fast, efficient, equitable and fair payments system.”
Card issuing — once the province of big banks — is changing, as issuers move beyond basic transaction services to stay competitive. In the process, they face growing demands for digital-first experiences, seamless integrations and data-driven personalization.
What sets best-in-class card issuers apart? One metric makes all the difference: customer lifetime value (CLTV). PYMNTS Intelligence’s latest research finds that high-CLTV issuers outperform their peers in revenue, customer engagement and long-term success. While 3 in 10 issuers report an average CLTV of just $1,000, 21% achieve $2,500 or more — unlocking a significant competitive edge.
What’s driving this success? Diverse monetization strategies, embedded financial services, and a strong focus on data-driven personalization. In fact, 31% of issuers cite advanced customization as crucial to a best-in-class platform. High-CLTV issuers also lead the way by integrating flex credentials, personalized financial products and seamless digital experiences. With 75% of top issuers planning platform upgrades within the next two years, the race for innovation is on.
“The Best-In-Class Modern Card Issuer: Driving Customer Lifetime Value Through Innovation,” a PYMNTS Intelligence and Visa DPS collaboration, examines the critical factors that drive high CLTV, drawing on insights from a survey of 451 executives who hold heads of payment roles at U.S.-based bank and non-bank card issuers. Comprised of information from the survey, held from Dec. 13, 2024, to Jan. 17, 2025, the report provides a roadmap for card issuers looking to increase revenue, enhance customer relationships and achieve a competitive edge.
The ability to increase revenue from multiple sources — beyond basic transaction fees — distinguishes best-in-class issuers, as does embedded financial services and a data-driven approach to personalization. This report includes crucial insights shaping tomorrow’s most successful card-issuing strategies.
