The Fed Wants You to Help Make Payments Better
The Fed — that quasi-accountable Federal banking system that sets our interest rates, and determines how much cash liquidity we should all be awash in — now wants your help. Or at least, they want your comments.
A Modernized Payment System
The Fed itself is resolute about modernizing payment systems in America to align them with the 21st century. Moreover, it actively encourages individuals involved in payment transactions to provide their insights and respond to questions according to their interest and expertise. They are urged to complement their responses with additional perspectives on improving the U.S. payment system. This initiative extends until the mid-December deadline.
Areas of Concern
Lack of Payment Options for Check Receivers
What kinds of changes or improvements, you ask? The Fed has noted several areas where they things in the U.S. can be more “moderne,” and move with greater ease and speed. Sort of like the fiscal equivalent of asking why in heck we don’t have high-speed rail yet? (And why in heck don’t we!?)
Limited Consumer Participation in Innovative Payment Methods
Some areas of Fed concern on the payment landscape include:
Slowness of Cross-Border Payments
- Lack of payment options for those receiving physical checks
- Limited consumer participation in groundbreaking payment methods like mobile wallets
- Slowness of cross-border payments
- Slow payment and accounting systems used by larger corporations
- Security fears that slow consumer adoption of various electronic payments
Lack of Interoperability
Furthermore, the Fed expresses concerns regarding the absence of “interoperability” among the various systems being introduced. This means that consumers using one type of virtual wallet may encounter difficulties when trying to send payments to others who do not have an electronic wallet or are using a different one. Additionally, there is a noticeable sluggishness in the execution of “real-time” money transfers and payments.
Have Your Say
We encourage anyone to click over to the [Fed’s survey site](insert survey link) to let them know where you think improvements can be made, in this rapidly unfolding, always surprising century of ours, where digits are increasingly replacing greenbacks.
Of course, you can also take solace that as an AVPS customer, we’re here to help you navigate the increasingly complex field of real and virtual payments, whether you want to expand to eChecks, mobile payments, card readers for your phone, or more.
And you don’t even have to wait for the Fed’s next report! (Though what they do about interest rates, and quantitative easing, is out of our hands!)