Western Alliance and Digital Disbursements Finds Extraordinary Success Rate for Digital Payments in Inaugural Report
According to new research from Western Alliance Bank and Digital Disbursements, getting money into the hands of payees in class action and mass tort settlements is far more effective and efficient when those payments are completed through digital methods rather than traditional paper checks.
Among the key findings of the inaugural Digital Payments in Class Actions and Mass Torts report: When claimants are offered a broad pay menu, the success rate for digital payments is 98%. That compares to a weighted average check cash rate of only 77% in cases with a claims process and only 55% in cases without a claims process, according to a 2019 study by the Federal Trade Commission.
The report, which relies on Digital Disbursements’ proprietary data set, making it likely the largest study to date on the distribution of settlement payments in the legal industry, also found that digital payments are becoming increasingly commonplace and that payees increasingly prefer digital payments.
Key Topics Addressed In the Report
- The most popular digital payment methods
- Which courts and law firms are embracing digital payments
- A look into some of the reasons digital payments are proving so popular
About Us
Digital Disbursements
A subsidiary of Western Alliance Bank, Digital Disbursements addresses the evolving payment needs of those in the legal, financial and other industries through its award-winning technology. The proprietary platform enables all types of payees, including those with claims from class actions, mass torts and bankruptcies, to choose how they would like to receive their payments, with options ranging from direct-to-bank accounts to popular digital wallets and credit cards. The benefits include improved deliverability, reduced cost and mitigated fraud, while also allowing the unbanked to receive their funds without high check-cashing fees. Digital Disbursements is part of Western Alliance Bancorporation, which has more than $70 billion in assets.
