Fed announces details of new interbank service to support instant payments • Hacker News Board

Re: Fed announces details of new interbank service to support instant payments

#41

Post by TedDoesntTalk » Mon, Aug 10, 2020, 12:07 AM UTC

beaunative wrote: post #11

vxNsr wrote: post #9

> The rapid expenditure of COVID emergency relief payments highlighted the critical importance of having a resilient instant payments infrastructure with nationwide reach, especially for households and small businesses with cash flow constraints," The main issue with releasing cash as I understand it wasn’t that it wasn’t arriving fast enough; rather it was verifying the recipient was eligible and was who they say th…

ACH could still be expedited even with the need to verifying identity. Technically it only need to demonstrate that the identity of receiver and the identity of the referred bank account are consistent, a national id won't be necessary. Fed is not technically a branch of the government.

It’s got nothing to do with that. ACH is a batch processing system written in COBOL in the 1970s. Nothing is going to get rid of the batch nature of the system except a new system based on asynchronous messaging. That’s what FedNow is.

Re: Fed announces details of new interbank service to support instant payments

#42

Post by CyberDildonics » Mon, Aug 10, 2020, 12:08 AM UTC

amiga_500 wrote: post #20

vxNsr wrote: post #17

Earlier quoted context omitted.

Real ID is very worrying and I’m hopeful that it eventually goes away as it keeps getting delayed.

I just cannot understand how you guys accept bad cops, bad healthcare, bad employment rights, bad social mobility, bad education and bad banks, but apparently national id is where you draw the line. Why didn't you draw the line before all this other stuff that is far behind much of Europe? ------ can't reply directly to the GDP comment as some cry baby has flagged my post and then a free speech loving mod has shadow-…

I wouldn't call massive sustained protests to be 'accepting'.

Re: Fed announces details of new interbank service to support instant payments

#43

Post by geofft » Mon, Aug 10, 2020, 12:09 AM UTC

vxNsr wrote: post #9

> The rapid expenditure of COVID emergency relief payments highlighted the critical importance of having a resilient instant payments infrastructure with nationwide reach, especially for households and small businesses with cash flow constraints," The main issue with releasing cash as I understand it wasn’t that it wasn’t arriving fast enough; rather it was verifying the recipient was eligible and was who they say th…

What's the concern about national ID and political enemies?

First, your life is already pretty bad if you don't have either federal or state ID at all. It's hard to drive, it's hard to fly, it's hard to get a paycheck. (You can live off the land in the middle of nowhere and avoid contact with the outside world, but you're not much of a political enemy for anyone if you do.)

So, your data is already in some sort of database, and if the authorities want to make your life bad, they can do it whether or not you happen to be carrying an ID on you. They've got facial recognition databases that are plugged into all of the various state IDs.

And you don't have to be compelled to carry your ID with you. This can be solved by saying, if you want certain government services, you have to have an ID. We do this for the very simple government service of public roads, and it doesn't seem like that's been a step down a slippery slope. I think it's important that we not live in a "Papers, please" society, but I don't think that's a necessary consequence of a national ID program.

Re: Fed announces details of new interbank service to support instant payments

#44

Post by throw0101a » Mon, Aug 10, 2020, 12:09 AM UTC

vxNsr wrote: post #9

> The rapid expenditure of COVID emergency relief payments highlighted the critical importance of having a resilient instant payments infrastructure with nationwide reach, especially for households and small businesses with cash flow constraints," The main issue with releasing cash as I understand it wasn’t that it wasn’t arriving fast enough; rather it was verifying the recipient was eligible and was who they say th…

> […] a national ID which I am more against the more I hear about […]

The US already has a de facto one AFAICT: the Social Security Number (SSN).

Unique to every individual, assigned from birth (or whenever applied for), and which never changes for the life of the person until they die.

> Many countries issued such numbers for a singular purpose, but over time, they become a de facto national identification number. For example, the United States developed its Social Security number (SSN) system as a means of organizing disbursing of Social Security benefits. However, due to function creep, the number has become used for other purposes to the point where it is almost essential to have one to, among other things, open a bank account, obtain a credit card, or drive a car.

* https://en.wikipedia.org/wiki/National_identification_number

Re: Fed announces details of new interbank service to support instant payments

#45

Post by logosmonkey » Mon, Aug 10, 2020, 12:09 AM UTC

mike503 wrote: post #23

I thought (and maybe just my personal conspiracy feeling) that banks lagged on transactions mainly to hold on to the cash longer and get interest. Secondary thought was just poor old technology debt. Something akin to hearing that payroll at a large company was a batch job dumping a ton of text files to a share or something and the bank slurped them up for direct deposit.

This was my assumption as well. For any large company I've always assumed refund times were 100% based around earning interest.

Re: Fed announces details of new interbank service to support instant payments

#46

Post by CyberDildonics » Mon, Aug 10, 2020, 12:10 AM UTC

vxNsr wrote: post #9

> The rapid expenditure of COVID emergency relief payments highlighted the critical importance of having a resilient instant payments infrastructure with nationwide reach, especially for households and small businesses with cash flow constraints," The main issue with releasing cash as I understand it wasn’t that it wasn’t arriving fast enough; rather it was verifying the recipient was eligible and was who they say th…

Why would there need to be any more ID systems in place for a payments system that just goes faster? What about bank transfers and business transfers? Why would there need to be a 'national ID' or any new system created?

Re: Fed announces details of new interbank service to support instant payments

#47

Post by grizzles » Mon, Aug 10, 2020, 12:10 AM UTC

This has little to no chance of coming into service. It's absolutely a direct threat to Visa & 100+ others. They will make sure that this is killed in Congress + legislation will likely be written prohibiting the Fed from creating something like this ever again.

[1] https://www.propublica.org/article/congress-is-about-to-ban-...

PS I knew I'd get these downvotes. The comment stands. Uncomfortable things should be said.

Re: Fed announces details of new interbank service to support instant payments

#48

Post by thinkloop » Mon, Aug 10, 2020, 12:10 AM UTC

jperras wrote: post #21

Canadian here. This sounds like Interac eTransfer, which is available to any person sending/receiving money where the endpoints are Canadian banking institutions (all of them, I guess?). We've had this since 2003.

E-transfer seems like what the American solution would have been - private banks integrating between themselves - whereas this fed solution seems like what Canada would have typically come up with. In fairness though, Canadian banks are so few and heavily regulated they can almost be considered government.

Re: Fed announces details of new interbank service to support instant payments

#49

Post by amiga_500 » Mon, Aug 10, 2020, 12:11 AM UTC

CyberDildonics wrote: post #42

amiga_500 wrote: post #20

Earlier quoted context omitted.

I just cannot understand how you guys accept bad cops, bad healthcare, bad employment rights, bad social mobility, bad education and bad banks, but apparently national id is where you draw the line. Why didn't you draw the line before all this other stuff that is far behind much of Europe? ------ can't reply directly to the GDP comment as some cry baby has flagged my post and then a free speech loving mod has shadow-…

I wouldn't call massive sustained protests to be 'accepting'.

Mass protests are only about the bad cop bit. You guys have given up everything. Conditions are far below what Europeans would accept. Better late than never, but very late.

It's damaging to other countries, for example in the UK emploers are always trying to lower standards to align with new USA lows.

Downvote patriots, instead of fixing your country.

Re: Fed announces details of new interbank service to support instant payments

#50

Post by zymhan » Mon, Aug 10, 2020, 12:11 AM UTC

amiga_500 wrote: post #20

vxNsr wrote: post #17

Earlier quoted context omitted.

Real ID is very worrying and I’m hopeful that it eventually goes away as it keeps getting delayed.

I just cannot understand how you guys accept bad cops, bad healthcare, bad employment rights, bad social mobility, bad education and bad banks, but apparently national id is where you draw the line. Why didn't you draw the line before all this other stuff that is far behind much of Europe? ------ can't reply directly to the GDP comment as some cry baby has flagged my post and then a free speech loving mod has shadow-…

You've built quite the straw man there.