In the context of payment methods for Stripe, what does 'real-time payments' refer to?

'Real-time payments' refers to payments that are processed instantly, meaning the transaction is completed and confirmed within a very short period, often within seconds. This allows for immediate fund availability to the recipient, enhancing the user experience by eliminating long waiting times typical with traditional payment methods.

Efficient real-time payment systems are crucial for businesses that rely on immediate cash flow and for customers who expect swift transaction confirmations. This method contrasts with options that involve longer processing times, such as payments taking an hour, requiring prior confirmation, or being limited to business hours. The emphasis on instant processing highlights the efficiency and immediacy that real-time payments provide in today's digital payment landscape.