Comments due on Fed proposal to change service hours
The Federal Reserve yesterday requested comment on potential modifications to the Federal Reserve Banks' National Settlement Service (NSS) and Fedwire® Funds Service to support enhancements to the same-day automated clearinghouse (ACH) service. The Board also requested comment on corresponding changes to the Federal Reserve Policy on Payment System Risk related to a new posting time for transactions and an increased daylight overdraft fee.
In September 2018, NACHA's voting members approved amendments to NACHA's Operating Rules and Guidelines to establish a third same-day ACH processing and settlement window that would include a submission deadline of 4:45 p.m. ET and settlement at 6:00 p.m. ET. The later same-day ACH window would allow more institutions to use same-day ACH services during a greater portion of their business day and may promote greater adoption of same-day ACH and availability of the service to originators and end-users. The NACHA rules changes require adjustments to Federal Reserve services to provide for later NSS and Fedwire Funds Service activity.
UPDATE: Published in the 5/16/19 Federal Register, with a 60-day comment period ending 7/15/19.