As we reported, Acting Comptroller of the Currency Brian Brooks has previewed the OCC’s plans to introduce another special purpose national bank charter that would give payment companies a nationwide servicing platform and federal preemption of state laws regarding licensing and regulation of money transmitters and payment services providers. Acting Comptroller Brooks’ statements drew swift reaction in the form of a July 29, 2020 letter from seven leading banking trade associations.… Continue Reading
Senate Banking Committee to hold June 30 hearing on digitization of money and payments
The Senate Banking Committee will hold a hearing tomorrow, June 30, titled, “The Digitization of Money and Payments.”
The witnesses will include Charles Cascarilla, Chief Executive Officer and Co-Founder, Paxos, and Professor Nakita Q. Cuttino, Visiting Assistant Professor of Law, Duke University School of Law.
This week’s podcast: A discussion of alternative payments
In this podcast, we examine the features of different forms of alternative payments, factors driving consumer demand, contractual and other issues in business transactions involving such payments, including the role of gateways and payment aggregators.
Click here to listen to the podcast.… Continue Reading
House Financial Services Committee to hold Sept. 26 hearing on real-time payments
The House Financial Services Committee’s Task Force on Financial Technology will hold a hearing entitled “The Future of Real-Time Payments,” at 2:00 p.m. on Thursday, September 26, 2019. There will be a live webcast of the hearing.
The memo from the FSC Majority Staff indicates the hearing will focus on the development of a real-time payments (“RTP”) system and the risks, regulation, and market features of any future payments system.… Continue Reading
The Fed’s entry into real-time payments: commercial and contractual implications
Last month, the Federal Reserve Board announced its plans to develop a real-time payments (RTP) service to be offered by the Federal Reserve Banks to directly support faster payments.
Three members of Ballard Spahr’s Consumer Financial Services Group with extensive experience negotiating complex payments transactions for some of the world’s largest retailers and financial institutions have authored an article in which they discuss the expanding adoption of RTP as a standard for payments transactions, including the commercial and contractual issues that may arise as a result.… Continue Reading
Fed announces plans to develop real-time settlement service to support faster payments
The Federal Reserve Board has determined that the Federal Reserve should take the following two actions:
- Develop a new interbank 24x7x365 real-time gross settlement (RTGS) service to be offered by the Federal Reserve Banks to directly support faster payments and to be called the FedNow Service
- Explore expanding the hours of the Fedwire Funds Service and the National Settlement Service (NSS), up to 24x7x365 to support liquidity management in private-sector RTGS services for faster payments
The Fed’s determination is set forth in a notice and request for comment issued on August 5, with comments to be due on or before 90 days after the date the notice is published in the Federal Register. … Continue Reading
Experienced payments attorney Judy Mok joins Ballard Spahr’s CFS Group
I am pleased to announce that Judy Mok, an attorney with extensive experience negotiating complex payments transactions for some of the world’s largest retailers and financial institutions, has joined Ballard Spahr as Of Counsel in the firm’s Consumer Financial Services Group. She will be based in the firm’s New York office.… Continue Reading
Federal Reserve seeks comment on actions to support development of faster payments
Earlier this month, the Federal Reserve invited comment on actions it can take “to promote ubiquitous, safe, and efficient faster payments in the United States by facilitating real-time interbank settlement of faster payments.” Comments are due by December 14, 2018.
More specifically, the Fed is seeking comment on two potential actions. … Continue Reading
Noted payment systems and fintech transactions lawyer Chris Ford joins Ballard Spahr’s CFS Group
I am pleased to announce that Chris Ford, an attorney who has led some of the country’s largest and most innovative Fintech and payment systems transactions, has joined Ballard Spahr as a partner in the firm’s Consumer Financial Services Group. He will be based in the firm’s Washington, D.C. office.
Chris advises clients on large-scale commercial transactions, particularly those involving financial services, payments, technology, and outsourcing. … Continue Reading
Federal Reserve Publishes Updates on Payment System Improvement Efforts
Earlier this week, the Federal Reserve issued a paper entitled “Strategies for Improving the U.S. Payment System: Federal Reserve Next Steps in the Payments Improvement Journey”. The paper is intended to provide payment industry stakeholders an update on the Fed’s efforts in the last couple years to help improve the speed, safety and efficiency of the U.S.… Continue Reading