Companies

The Role of Core Banking Services Providers in Facilitating Instant Payments

Kansas City Fed

"Core banking services providers play key roles helping depository institutions (DIs) offer instant payments. Specifically, core providers process transactions in real time and connect DIs to instant payments system operators, upgrade customer-facing solutions, and facilitate open banking and embedded finance."

Tags: Federal Reserve

Companies

Federal Reserve Surveys: U.S. Businesses, Consumers Increasingly Adopt Faster and Instant Payment Services

FedNow

"U.S. businesses and consumers are rapidly adopting digital, faster and instant payment services, according to studies released by Federal Reserve Financial Services."

Tags: Federal Reserve

Companies

Federal Reserve Surveys: U.S. Businesses, Consumers Increasingly Adopt Faster and Instant Payment Services

Business Wire

"U.S. businesses and consumers are rapidly adopting digital, faster and instant payment services, according to studies released today by Federal Reserve Financial Services. Digital wallet use saw especially strong growth in 2023 — efficiency-focused businesses increased their use by 31% over the prior year, and convenience-minded consumers experienced a 32% increase."

Tags: Federal Reserve

Companies

Federal Reserve Board Requests Comment on Proposal to Expand the Operating Days of the Federal Reserve Banks’ Two Large-Value Payments Services, Fedwire Funds Service and the National Settlement Service, to Include Weekends and Holidays

Board of Governors of the Federal Reserve System

"The Federal Reserve Board on Friday requested comment on a proposal to expand the operating days of the Federal Reserve Banks' two large-value payments services to include weekends and holidays, so that they would operate every day of the year."

Tags: Federal Reserve

Companies

Nacha Rule Changes to Fight Authorized Payment Scams

Atlanta Fed

"As my colleagues and I have blogged previously, a payment that a legitimate account holder authorizes does not fit into the traditional framework for fraud remediation, which involves the Reg E requirement to refund customer money in the event of unauthorized payments fraud."

Tags: Federal Reserve

Companies

Has Your Board Discussed Your Wire-Transfer Strategy?

Atlanta Fed

"On June 27, 2022, the Board of Governors of the Federal Reserve System announced that the Federal Reserve Banks will adopt the ISO 20022 message format for the Fedwire Funds Service in a single-day implementation strategy on March 10, 2025...Preparing a financial institution's wire systems for ISO 20022 calls for an inventory and upgrade of the systems that support wire operations. These systems include..."

Tags: Federal Reserve

Companies

Financial Stability Implications of CBDC

Federal Reserve

"A Central Bank Digital Currency (CBDC) is a form of digital money that is denominated in the national unit of account and constitutes a direct liability of the central bank. We examine the financial stability risks and benefits of issuing a CBDC under different design options."

Tags: Federal Reserve

Companies

Federal Reserve Financial Services Introduces FedNow® User Group to Promote Collaboration, Engagement Among More Than 600 FedNow Participants

Business Wire

"Federal Reserve Financial Services introduced the new FedNow User Group to continue promoting collaboration among the 607 participating financial institutions and their service providers on the FedNow Service network."

Tags: Federal Reserve

Companies

Powell Says Fed Not “Remotely Close” to a Central Bank Digital Currency

Reuters

"Federal Reserve Chairman Jerome Powell significantly downplayed the possibility of the central bank issuing its own digital currency, and said if it ever came to pass, the government would play a limited role. He added that the Fed has no interest in establishing accounts for individuals that would compete with the banking system, and it would not support any Fed monitoring of personal financial transactions."

Tags: Federal Reserve

Companies

Curtailing Authorized Push Payment Fraud Means Curtailing Phone Scammers

Atlanta Fed

"How big a problem is imposter fraud? In its 2023 consumer complaints report, released last month, the Federal Trade Commission (FTC) reported more than 850,000 complaints about imposter fraud, resulting in about $2.7 billion dollars in losses."

Tags: Federal Reserve

Companies

How and Why Do Consumers Use “Buy Now, Pay Later”?

Federal Reserve

"In this post, light is shed on BNPL’s place in its users’ household finances, with a particular focus on how use varies by a household’s level of financial fragility."

Tags: Federal Reserve

Companies

Announcing the FedDetect Anomaly Notification for FedACH® Services

FRB Services

"A new addition to the FedACH Risk® Management Services, the FedDetect Anomaly Notification is designed to help institutions identify anomalous activity and supplement fraud detection and alerting tools."

Tags: Federal Reserve

Companies

Federal Reserve Board Announces It Will Extend the Comment Period on Its Interchange Fee Proposal Until May 12, 2024 and Published Additional Related Data

Board of Governors of the Federal Reserve System

"The Board on Monday announced that it will extend until May 12, 2024, the comment period on its interchange fee proposal."

Tags: Federal Reserve

Companies

Fednow® Service Starts New Year With 400 Participants

FRB Services

Six months after launch, the FedNow Service started 2024 on a strong note, with 400 institutions participating as senders or receivers on the network.

Tags: Federal Reserve

Companies

SmartMetric Says That, According to the Federal Reserve, Credit Cards Dominate the Payment Method Used by Consumers

Business Wire

"According to a recently released report titled the 2023 Diary of Consumer Payment Choice by the Federal Reserve Bank of Atlanta, in May 2023, U.S. consumers made most of their payments with debit cards, credit cards, and cash with credit cards retaining the top level as the preferred consumer payment method."

Tags: Federal Reserve

Companies

Federal Reserve Board Announces Pricing for Payment Services

Board of Governors of the Federal Reserve System

"The Federal Reserve Board on Friday announced pricing, effective January 2, 2024, for payment services the Federal Reserve Banks provide to banks and credit unions...The Reserve Banks will maintain the previous year's fee schedule for the FedNow® Service, inclusive of discounts."

Tags: Federal Reserve

Companies

NY Fed: US Q3 Credit Card Debt Up on Strong Economy, as Credit Woes Tick Higher

Reuters

"U.S. total household debt levels rose in the third quarter amid strong growth in credit card borrowings fueled by a hot economy, although there were mounting signs some borrowers are facing increased challenges managing the money they've borrowed, a report from the Federal Reserve Bank of New York released on Tuesday said."

Tags: Federal Reserve

Companies

Fed Continues to Explore ‘CBDC Payments Backbone:’ Barr

Blockworks

"The Federal Reserve is not any closer to making a decision on a central bank digital currency (CBDC), the Fed’s Michael Barr said in a speech on Friday. The Vice Chair for Supervision added that — as companies and central banks continue to mull stablecoins and CBDCs — “we must carefully weigh the benefits and risks of different uses of these new technologies.”"

Tags: Federal Reserve

Companies

The Fed’s Debit Card Interchange Proposal Isn’t Pleasing Merchants Or Issuers

Digital Transactions

"The Federal Reserve Board’s proposal Wednesday to make a 31% reduction in the main component of its debit card interchange ceiling for large issuers touches on a longstanding sore point among merchants and has already sparked a spirited debate in the payments industry."

Tags: Federal Reserve

Companies

Federal Reserve Board Requests Comment on a Proposal to Lower the Maximum Interchange Fee that a Large Debit Card Issuer Can Receive for a Debit Card Transaction

Board of Governors of the Federal Reserve System

"The Federal Reserve Board on Wednesday requested comment on a proposal to lower the maximum interchange fee that a large debit card issuer can receive for a debit card transaction. The proposal would also establish a regular process for updating the maximum amount every other year going forward....The comment period will close 90 days after the proposal is published in the Federal Register."

Tags: Federal Reserve

Companies

Federal Reserve Governor Warns of CBDC and Stablecoin Risks

Investing.com

"Federal Reserve Governor Michelle Bowman voiced concerns over the potential risks and tradeoffs of a U.S. central bank digital currency (CBDC) and stablecoins in a Harvard Law School event on Tuesday."

Tags: Federal Reserve

Companies

Check Fraud: A Low-Tech and Increasingly Common Crime

FedPayments Improvement

"The Federal Reserve’s longstanding commitment to combat fraud and build awareness includes providing education on fraud trends and improving the security of all payments. One form of payment in particular – checks – is seeing a sizable increase in fraudulent appeal."

Tags: Federal Reserve

Companies

Banks Are Taking Their Time Adopting FedNow, a Faster Way to Send Money

NPR

"Sending money from one bank to another just down the street can take longer than sending a package across the country. The Federal Reserve is trying to change that with a faster way to send money."

Tags: Federal Reserve

Companies

Preparing for FedNow Fraud with Lessons from P2P

BAI

"The launch of FedNow has brought high-dollar, real-time payments to the financial marketplace...The chatter of bad actors has lit up the dark web with schemes to exploit instant access to high-dollar transactions."

Tags: Federal Reserve

Companies

How Can FedNow Recruit More US Banks? Lessons From Brazil

Bank Info Security

"The launch of the Federal Reserve's FedNow payment rail in July made a big media splash, but only 57 financial institutions and service providers signed on to the real-time payments program. By Sept. 1, only 90 had joined, leaving observers wondering how long it will take to convince 10,000 financial institutions to join."

Tags: Federal Reserve

Companies

FedNow® Service Hits New Milestone With More Than 100 Participating Organizations

Businesswire

"The Federal Reserve announced today that the FedNow Service has experienced strong growth following its launch in July, with 108 institutions now sending and receiving on the network."

Tags: Federal Reserve

Companies

FedNow’s Legal Terms Contain a Game Changer for Digital Wallets and Payment Apps

TechCrunch

"A few lines buried in the legal terms for the FedNow service, which is now live, create an important opportunity for digital wallet and payment app providers... These provisions allow nonbank providers access to FedNow under a remarkably open approach, with only a few requirements imposed on their relationships with customers and a back-end bank."

Tags: Federal Reserve

Companies

FedNow® Service Industry Work Group Issues Market Practices for Request for Payment

Businesswire

"The Federal Reserve today released market practices to advance standardized implementation of the request for payment (RFP) feature of instant payments."

Tags: Federal Reserve

Companies

Q&A with Ken Montgomery, FedNow Program Executive

ABA Banking Journal

"Ken Montgomery is Program Executive for the FedNow® Service, an instant payments service that the Federal Reserve launched in July."

Tags: Federal Reserve

Companies

Why is Check Fraud Suddenly Rampant?

Federal Reserve Bank of Boston

"The check is fading away as a consumer payment method – the number of checks collected by the Federal Reserve annually has plummeted 82% over the last 30 years. So why is check fraud suddenly rampant?"

Tags: Federal Reserve