Systems

NACHA Wants the Fed To Take a Broader View of Faster Payments

“NACHA is not taking a position on whether the Federal Reserve should build a proposed real-time settlement system, but in comments this week the automated clearing house governing body said it is concerned the Fed’s current proposal is “too narrowly focused” and favors instant payments at the expense of other payment types.The Fed in early October issued a request for comments on a project it dubs Real Time Gross Settlement that would operate 24 hours a day, 365 days a year. The Fed potentially would play the role of operator, thereby putting the central bank into direct competition with private-sector entities. The Fed is taking comments until Dec. 14.”