The Faster Payments Service is a UK banking initiative aimed at reducing payment times between different banks' customer accounts to a few seconds. Launched in 2008, FPS supports both immediate payments and future-dated payments, offering a more efficient alternative to traditional bank transfer systems.
FPS has significantly improved the speed at which people can make and receive payments in the UK, allowing for almost instant transfers 24/7, including weekends and holidays. This service is utilized for a variety of payment needs, from personal transfers between family and friends to business transactions. Most banks and building societies in the UK are part of this scheme, providing their customers with the ability to send up to £250,000 per transaction, depending on the institution. The introduction of FPS has led to the development of new financial products and services, including mobile and online banking apps that offer immediate money transfers as a feature.
