131–140 of 431 posts
Earlier quoted context omitted.
https://xkcd.com/927/
A standard backed by the US government isn't going to be just another standard.
Nearly all first world countries enjoy instant payments at the point of sale and person to person. It boggles my mind that it has taken this long and a pandemic to even set the gears in motion, all while battling ridiculous levels of cheque and credit card fraud.
The gears were set in motion prior to the Pandemic. They are just saying that the Pandemic reinforces the work they have been doing.
"Since we initiated FedNow one year ago, we have been hitting our project milestones, and today I am pleased to announce the Federal Reserve Board has approved the core features and functionality based on extensive input from stakeholders."
Earlier quoted context omitted.
I wouldn’t say Canada is “far behind” because the banks like to rip people off. We’ve had a single unified payment network for like 40 years. We’ve had instantly settled electronic transfers (Interac e-Transfer) exposed to consumers directly through their institutions for about 20 years. We’ve had chip and pin and NFC contactless payments for quite a long time. And the rip off is really just the handful of big banks.…
The US has a unified payment system (ACH) and has had it for many decades it's just not instant, usually takes 3 business days for a transaction to fully settle.
And for instantaneous transfers, we have Fedwire. The original real-time wire service. It’s free for most commercial and high net worth users, and thus, from a bulk economic perspective, sufficient for industry.
If anyone from the FED is reading this I have this advice: don't use ISO20022! (I've been working on the brazilian instant payments project, known as PIX). It's an overly-complicated-try-to-solve-everything standard that promises interoperability but only delivers pain and misery. Since each country has its own standards for person and account identification, in dealing with these local realities, the ISO20022 adds q…
And I got downvoted for predicting this a few weeks ago.
How come the US -- the biggest economy in the world, and home of the most sophisticated banking sector on the planet -- is still not equipped with such a system? Are banks resisting it and if yes, why would they?
How come the US -- the biggest economy in the world, and home of the most sophisticated banking sector on the planet -- is still not equipped with such a system? Because, as pointed out in other comments, the United States pioneered electronic finances when the rest of the world's banks were still settling their accounts at the end of the day by dragging cartloads of paper money and gold bars from branch to branch. Y…
Does anything actually exist yet, is this just a notice of intent?
How come the US -- the biggest economy in the world, and home of the most sophisticated banking sector on the planet -- is still not equipped with such a system? Are banks resisting it and if yes, why would they?
Earlier quoted context omitted.
Correct me if I'm wrong, but the Real ID act[1] is a national ID in every way but the name. If it was a national ID, it would be mandatory. Real ID is optional.
Not if you want to travel by air.
One thing I don't see mention regarding the existing US ACH (or whatever interbank) system is that there is absolutely no verification or security in this system. Just like verification of paper check signature and a whole lot of other financial items - most banks allow anything until questioned. The easiest and cost effective way is to let it happen and reimburse for failures. 1. I have linked a non-joint account in…