Removing Barriers Blog

CUNA Meets With Federal Reserve Staff
Posted December 12, 2017 by CUNA Advocacy

CUNA CEO Jim Nussle along with CUNA staff and staff from the Independent Community Bankers of American and the National Association of Federal Credit Unions met with Federal Reserve Bank of Kansas City President and CEO Esther George and key staff from the Federal Reserve banks to discuss the Federal’s Reserve’s roll in the payments system.  The meeting took place at the Federal Reserve’s headquarters and was a follow up to a letter that the three trade associations jointly sent to Federal Reserve leadership last April.

The letter strongly urged the Federal Reserve to serve an operational role in the delivery of real-time payments, which was the primary topic of the meeting.  CUNA believes that along with central bank settlement capabilities to support all faster payment service the Federal Reserve should explore providing additional services.  We recommended serving as an on-ramp to real-time payments solution or solutions, serving as an operator for real-time payments or operating a payments directory.  These roles would be similar to those the Federal Reserve currently plays in providing integrity, safety, transparency, equitable access, and ubiquity among all of the nearly 12,000 financial institutions for checks, ACH payments, and wire transfers. We believe that the Federal Reserve should play an important role in ensuring access to real-time payments for credit unions and community banks. 

CUNA is a member of the Federal Reserve’s Secure Payments Task force and was a member of the Faster Payments Task Force, which has ended after producing a final report. We will continue to work with the Federal Reserve, credit unions and other key stakeholders on this issue.