Removing Barriers Blog

Real-Time Payments Comment Letter to the Federal Reserve Board
Posted November 07, 2019 by CUNA Advocacy

Today CUNA filed a comment letter supporting the Board of Governors of the Federal Reserve System (Board) in response to the request for comment regarding potential Board actions to support interbank settlement of faster payments. In the request for comment, the Board proposed to develop a real-time payments network to be called FedNow. CUNA strongly supports the Board’s decision to develop an interbank 24x7x365 real-time gross settlement service with integrated clearing functionality and looks forward to working with the Federal Reserve Banks on the development of the system.

The Board requested public comment on “potential action that the Federal Reserve could take to advance the development of faster payments,” in 2018 and this request for comment announced the Board’s intentions to develop FedNow.  Although CUNA strongly supports the Board’s decision, the letter does encourage the Board to ensure that credit union stakeholders are an integral part of the development process so that credit unions can have access to FedNow when it is implements which is planned for 2024.

CUNA will continue to work with the Board and Federal Reserve Banks on the development of FedNow.