[The Federal Reserve Seeks Public Comments on 'Payment Accounts,' Proposes Limited Payment Clearing and Settlement]
The Federal Reserve announced that it will seek public comments on 'payment accounts,' allowing eligible financial institutions to use payment accounts for limited payment clearing and settlement. Payment accounts differ from master accounts, as they do not pay interest, cannot access Federal Reserve credit, and are subject to balance limits and other restrictions. This public consultation aims to promote innovation in payment accounts while ensuring the security of the payment system.