Fed steps into the Instant space

The US Federal Reserve has come out with an instant payment facility it has developed for use by the financial services institutions for the benefit of their customers:

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The US Federal Reserve has very recently commissioned FedNow, a new instant payment service, after 4 years of catch-up game with several countries, including some of the less developed ones, which have implemented such infrastructure for the benefit of the general public. The service allows financial institutions across the U.S. wto provide safe and efficient instant payment services.

Businesses and individuals across the US can now send and receive payments in real time, round the clock and 7 days of the week through the participating financial institutions. The financial institutions and their service providers can use FedNow to provide innovative instant payment services to customers and recipients will have full access to funds immediately. It is a totally secure payment network.

PHASED DEPLOYMENT

The Fed has, however, said the service will be deployed in phases.