October 03, 2018

NAFCU, Fed talk faster payments system

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NAFCU President and CEO Dan Berger and Federal Reserve Gov. Lael Brainard discussed Tuesday the Fed's efforts to improve real-time payments and the association's encouragement to the Fed to play an operational role in a future, faster payments system. This topic will be discussed in much more detail today at the inaugural FedPayments Improvement Community Forum in Chicago, which NAFCU will attend.

As the Federal Reserve seeks to update the payments system, NAFCU has ensured that the credit union perspective on any advancements is taken into account. NAFCU has served on both the Fed's Faster Payments and Secure Payments Task Forces, which were formed as a part of the Fed's "Strategies for Improving the U.S. Payment System," since their inception in 2015. Now that the task forces have concluded, NAFCU is a member of the FedPayments Improvement Community.

NAFCU Regulatory Affairs Counsel Andrew Morris will attend today's forum. The sessions will feature various Fed officials as well as representatives from retailers and financial institutions, and attendees will collaborate and provide feedback on the latest payment system improvement initiatives.

NAFCU continues to be in constant communication with the Fed regarding its work to make the payments system faster and more secure; the association met last week with Fed staff to discuss the strategy for achieving more secure payments. NAFCU has also urged the Fed to stay away from a "one size fits all" approach to the payment system's future. It will continue to represent the credit union industry's best interests in this process.