Coming May 12: Decoupling final close extensions for the Fedwire® Funds Service and Fedwire Securities Service
What is happening
Effective May 12, Federal Reserve Financial Services (FRFS) will no longer automatically extend the Fedwire Securities Service final close when the Fedwire Funds Service final close is extended. FRFS will only extend the Fedwire Securities Service final close if there is an approved extension request or to facilitate special market needs.The details of each service's final close are outlined below:
| Service name | Description of final close | Time of final close |
|---|---|---|
| Fedwire Securities Service | Close of the reposition free-of-payment processing window | 7 p.m. ET |
| Fedwire Funds Service | Close of type code 16 messages | 7 p.m. ET |
Visit and bookmark the Fedwire Securities Service Schedule and FedPayments® Manager – Securities Hours of Availability page for a detailed schedule for Fedwire Securities Service daily operating hours.
Why this change is being made
After examining the historical Fedwire extensions data, FRFS determined to decommission this operational practice and close the Fedwire Securities Service on time, unless there is an approved extension request or to facilitate special market needs, to allow customers to receive their end-of-day reports and begin back-office reconciliations on schedule. This change will eliminate customer implications due to an unnecessary Fedwire Securities Service close extension.Further improvements
In addition to decoupling the Fedwire Securities Service and Fedwire Funds Service final close extensions, FRFS will enhance service-related notifications for the Fedwire Securities Service. Beginning May 12, FRFS will:- Inform customers when the Original Issue and Secondary Market transfers processing windows close, as well as the final service close via the Service Status page on FRBservices.org®.
- Notify customers of any Original Issue processing window extension and any final close extension via both the Service Status page on FRBservices.org and any final close extension via both the Service Status page on FRBservices.org and FedLine® Home.
No new FedLine Direct® broadcast notifications via the Fedwire Securities Service MSG-ID BA2700 will be introduced through this operational change.