Broadening access to Reserve Bank accounts raises concern

CUNA submitted a letter to the Secretary for the Board of Governors of the Federal Reserve Ann Misback on Friday in response to the Board’s proposed guidelines for evaluating account and services requests.

CUNA raised concerns that the Federal Reserve Bank broadening access to accounts without consistent guidelines could introduce unnecessary risks to the payment system.

The Board requested comments to a similar request back in 2021. While CUNA continues to support the Board’s efforts to establish clear and consistent guidelines to evaluate requests, the new proposed guidelines do not address how the Reserve Banks would ensure that new applicants for accounts and services that are not subject to the rigorous regulations and supervision would demonstrate adequate standards for ensuring the safe operation of the payments system.

 

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