Canada’s new Real-Time Rail payment system promises round-the-clock money transfers, but widespread use could take months or years as banks join the network and businesses overhaul their processes, according to a Scotiabank report covered by Global News.

The report, released Thursday and written by senior economist David Cimon, distinguishes between launching the payment infrastructure and changing how Canadians actually pay bills, receive wages and move money.

Payments Canada announced the system’s launch Monday. It is designed to let consumers and businesses send and receive payments instantly, at any hour throughout the year. The Bank of Canada also brought the system under its formal oversight.

However, none of Canada’s five biggest banks participated in the initial launch, Global News reported. Payments Canada began with smaller Canadian institutions and Bank of America to test the system’s stability before expanding participation.

RBC plans to introduce Real-Time Rail into its systems in the second quarter of 2027. Scotiabank, TD, BMO and CIBC are expected to follow, but have not provided specific timelines, according to the reporting.

“In general, to use RTR, both parties’ financial institutions must be a member,” Cimon wrote. That limits the potential volume of payments until larger institutions join. His report suggests additional participants later in 2027 will likely be necessary for transaction volumes to grow meaningfully.

Even then, businesses will need to adapt their own operations.

Commercial cheques offer a significant opportunity for change, the report says. Citing Scotiabank and Payments Canada data, it puts the average commercial cheque at roughly $13,600 in 2025, compared with about $24 for a cash transaction. Commercial cheques account for the overwhelming majority of paper-payment value.

But replacing cheques involves changes to bookkeeping, invoice processing and systems built around multi-day clearing times. Faster transfers alone will not eliminate those steps.

Employees could also benefit from quicker wage payments, though the report cautions that instant payroll is unlikely for many workers. Employers would need both the technical ability to process payroll in real time and a willingness to depart from the standard two-week pay schedule.

“Structural changes by businesses will take longer than merely activating the system,” Cimon wrote.

Sources