Citi Payments Perspectives
24 Treasury and Trade Solutions Citi Payments Perspectives Global Initiatives Payments Infrastructure Developments Regional Developments (North America) TCH Request for Pay (RFP) Bill Pay There is growing interest from corporates and nonbank financial institution clients in leveraging Request for Pay for bill collection as retail bank adoption slowly comes online, the key driver of creating the necessary network effect to achieve adoptions. In September 2021, Citi and BNY Mellon joined forces 24 with wireless network provider Verizon to offer the ability to send request-for-payment messages to Citi banking customers. Through this partnership, Citi became the first bank enabled to support round- trip RFP. While real-time payments were previously available for bank-to-bank transactions for large organizations, this is the first at-scale use of the technology in production with retail customers. This innovative functionality revolutionizes the bill pay experience for both the biller and the customer, connecting BNY Mellon as the billing bank, Verizon as the biller and Citi as the customer’s bank, with the transaction transmitting in real time over The Clearing House’s RTP ® network. Latest on Fed/CHIPS ISO Timelines In October of 2021, the Federal Reserve announced 25 their revised ISO 20022 adoption plan and invited public comment (90-day comment period) for migrating the Fedwire Funds Service to the ISO 20022 message format. The proposal was for a single implementation date (no earlier than November 2023) rather than a three-phased approach. Since then, the Federal Reserve changed the implementation timeline for ISO2022, to Q1 2025. Although, industry participants (including TCH) support aligning the implementation for Fedwire and CHIPS in November 2023, uncertainty remains on a same-day migration for both systems due to maintenance of safety, soundness, and efficiency of payment systems that is critical for both the public and private sector. TCH and other industry governance bodies such as the Payments Risk Committee (PRC) encourage continuous dialogue and coordination between the Federal Reserve, TCH, and participants of both Fedwire and CHIPS throughout the payment systems’ respective ISO 20022 migration programs to mitigate risk migration that ISO 20022 may pose to the resilience of USD payments. Global Initiatives Financial Stability Board (FSB) Enhancing Cross-Border Payments Roadmap Emerging Payments and Digital Assets Payments Infrastructure Developments ISO 20022 SWIFT Transformation Instant Payments Financial Market Infrastructure (FMI) Interlinkage Initiatives Regional Developments (North America) Immediate Cross-Border Payments (IXB) TCH Request for Pay (RFP) Bill Pay Latest on Fed/CHIPS ISO Timelines Lynx — Canadian High-Value Payment System Glossary
Made with FlippingBook
RkJQdWJsaXNoZXIy MTM5MzQ1OA==