Removing Barriers Blog

CUNA comments on the Federal Reserve's FedNOW Development
Posted September 23, 2020 by dyi

Today, CUNA sent a letter to the Federal Reserve Board in support of their FedNOW development efforts. The FedNow Service is a new instant payment service that the Federal Reserve Banks are developing to enable financial institutions of every size, and in every community across the U.S., to provide safe and efficient instant payment services in real time, around the clock, every day of the year.

"The COVID-19 pandemic has accelerated an already rapid shift toward digital channela and commerce, and has demonstrated a need for real-time payments and the products and services it will enable," the letter states. "Furthermore, the appetite for real-time solutions has grown, with use cases likely to proliferate. It is therefore more critical than ever for the Board to meet its stated commitment to launch FedNow by 2023 or 2024, or sooner if practicable. CUNA strongly encourages working toward the earliest end of that range, while recognizing the complexity of the endeavor."