Hot Topics in the Banking Industry

At last report there were more than 100 participants enrolled in FedNow.  The Fed’s target for the end of the year is 300 participants.

The Federal Reserve hosted an instant payments symposium in Chicago in early October.  Of particular interest was a presentation from Dave Lebryk from the U.S. Treasury.   He outlined the current plan for usage of instant payments at the Federal Government level, which is very  limited at this time.  If you would like to read the article, it can be located at: https://explore.fednow.org/explore. Click on the News Center building, click on “enter the building” and the article is easily available. 

Please call The Bankers Bank if you have questions about FedNow or need assistance in moving forward with the product.

Fedwire Move to ISO20022

The Federal Reserve will be adopting ISO20022 as a new messaging format for Fedwire Funds Service in March 2025.  In advance of that move, some changes are being made to data files for Financial Institution Reconcilement Data and Statement of Account Spreadsheet File. These reports are generally used by larger, more complicated institutions, but if you are a user and we can help, please call.  The Bankers Bank will implement the changes to the wire format on March 10, 2025, and we do not believe this will be an issue for our users.

Fedwire Funds Offline Service

The Federal Reserve has announced they will retire the Funds Offline Service December 31, 2024.  If your Business Continuity plans include using offline wires as a last resort, you will need to consider revising your plan.  A new contingency service using FedLine Direct or FedLine Advantage will be available January 2, 2025.  The Federal Reserve will provide updates and information throughout 2024.

TBB’s Money Market Account

Have you explored this additional benefit at The Bankers Bank?

• Competitive rate
• Ease of entry
• Centralization of funds