Representatives Young Kim and Sam Liccardo introduced the Payments Access and Consumer Efficiency Act on April 21. The bill would create 'payments reserve accounts' at Federal Reserve Banks for registered nonbank payment providers. Account holders could send and receive transactions on Fedwire, FedNow, and FedACH without routing through bank intermediaries.
Eligible applicants must hold money transmitter licenses in at least 40 states or possess a state banking charter. Account holders would face one-to-one reserve requirements. The Office of the Comptroller of the Currency would supervise nonbank holders.
Nonbank payment firms currently route Federal Reserve payment transactions through bank intermediaries. The bill's sponsors cite intermediary markups of up to 100 times the Fed's per-item processing fees.