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PULSE Perspectives – December 2025

Author Svetla Pavlova

A road stretches to the horizon with the sun and clouds in the background

PULSE offers its perspective on news, analysis, and research in payments and banking. In this issue we assess adoption hurdles in faster payments, examine holiday gift-card fraud, and consider the balance between consumer demand for “Pay by Bank” and interchange revenue from debit volume.
 

Adoption Hurdles for Faster Payments

The 2025 Faster Payments Barometer Survey from the U.S. Faster Payments Council found that lingering concerns are preventing many banks from fully adopting faster payments. According to the Bank Administration Institute, reasons for their hesitancy include perceived fraud risks, cost, and interoperability concerns. Moreover, only 61% of survey respondents feel that the industry is making satisfactory progress toward instant-payment adoption.

Perspective: As adoption grows and encompasses more consumer payments, issuers will want to participate in a way that does not create additional risk, reduce consumer protections, or lessen interchange income.

Nationwide Campaign Targets Holiday Gift-Card Fraud

The Gift Card Fraud Prevention Alliance has launched a national social-media campaign to curb gift-card scams. Digital Transactions reports that partners include major retailers, state retail groups, and law-enforcement agencies. Data from the Federal Trade Commission show gift card fraud totaled $217 million in 2023, about 2.2% of total fraud losses.

Perspective: Institutions are encouraged to join the campaign. You can also download our Fight Fraud With 7 Simple Tips flyer to help account holders prevent fraud.

Unfamiliarity with Pay by Bank Stifles Growth

U.S. adoption of Pay by Bank is slow due to lack of awareness. The PYMNTS Intelligence report What Consumers Need for Pay by Bank to Catch On found barely half of consumers know it exists. Younger generations and higher-income groups display the most interest, but 53% of consumers surveyed were resistant to adopt without an incentive.

Perspective: Decisions about pay by bank must be strategic. While it is important to offer consumers payment options they desire, it is also necessary to maintain balance, ensuring you maximize debit interchange revenue.