WASHINGTON — The Federal Reserve announced Monday that they will move forward with a plan to upgrade America’s financial infrastructure to allow for faster payments. This highly anticipated decision is welcomed news to retailers, community banks, technology firms and consumers – all who will benefit from safe and efficient faster payments in the United States.

“The new faster payments system outlined by the Fed will dramatically speed up payment processing, allowing people and businesses to receive money in their accounts at a far more rapid rate,” said Austen Jensen, senior vice president of government affairs, Retail Industry Leaders Association (RILA). “Under the current system, financial transactions can take up to 72 hours to clear. These delays cause stress, an over reliance on credit, and higher fees paid by individuals and merchants. Faster payments mean merchants and consumers will have access to their money in real time, giving them more control and clarity over their finances.”

RILA has long advocated for speeding up electronic payments and has been a collaborative partner with the Federal Reserve, participating in the Secure and Faster Payment Task Forces. These efforts brought industries from across the payment ecosystem together to discuss a wide range of policy issues, with the overall goal of updating and improving the nation’s payment infrastructure.

“Leading retailers commend the Federal Reserve for their leadership on faster payments. Despite distracting concerns from large financial institutions, the Fed chose to play an essential role in establishing a safe and efficient faster payments system. We look forward to working with the Fed and others on implementing these reforms,” said Jensen.