March 20, 2016
Dan Gonzalez, Vice President of Payments Industry Relations, from the Federal Reserve System, presented at the PayCLT meeting on March 18th, 2016 in Charlotte.
As was covered in the meeting, the Federal Reserve Banks have come up with five strategies for building a faster and safer payment ecosystem. Here is a brief summary of the presentation at the event:
Why pursue a payments improvement initiative in the United States?
How to build faster payments?
In order to build faster payments, organizations need to actively engage with stakeholders on initiatives designed to improve the U.S. payment system. No improvements on a global level can be made if major organizations are not willing to collaborate on developing and implementing new initiatives to improve the payment system. In order to reach positive scalable results, influential entities must work together to leverage efforts and expertise in pursuit of payment system improvements.
The next step is to Identify effective approach(es) for implementing safe, ubiquitous, faster payments. For that purpose there are three missions and objectives for the faster payments taskforce to focus on:
Reduce fraud risk and advance the safety, security and resiliency of the payment system would be another important initiative to work on. The main stakeholders need to advise the Fed in its leader/catalyst and operator roles on payment security matters, and identify and promote actions that can be taken by payment system participants collectively and/or by the Federal Reserve System:
Greater end-to-end efficiency needs to be achieved for domestic and cross-border payments.
Image source: In Pursuit of a Better Payment System, payCLT meeting on March 18th
Areas of Focus for Future Action:
The next PayCLT meeting is scheduled for April 1st 2016. Todd Clark, General Manager of First Data’s STAR Network will be the guest speaker at this event.