Change to Postal Address Data Validation for the Fedwire® Funds Service ISO® 20022 Implementation
July 30, 2024
On September 3, 2024, Federal Reserve Financial Services (FRFS) will deploy a change to relax the requirement to provide postal address information for certain parties (i.e., initiating party, ultimate debtor, debtor, creditor, ultimate creditor) in the Depository Institution Testing (DIT2) environment. This change is being made at the request of industry participants, who have expressed concerns that the previously stricter postal address data requirement may result in message rejections or exception processing of inbound cross-border payment messages.
The Fedwire Funds Service will continue to accept messages that comply with the previously published postal address requirement but will no longer require postal address information for certain parties. Please note that postal address information may be required under applicable law, and it is strongly recommended that customers include this information to the extent possible even when not required by law.
FRFS is making this change to help avoid disruptions when the Fedwire Funds Service migrates to the ISO 20022 format on March 10, 2025. Please note that our single-day implementation on March 10, 2025, is not impacted. We need all of you to continue working to prepare for this upcoming migration date.
What is changing?
FRFS will update the Fedwire Funds Service ISO 20022 format specifications on MyStandards® on July 30, 2024, to reflect the changes as described in the table below for the Entity/Person Transparency Rule1.
| Updated Entity/Person Transparency Rule1 | ISO 20022 messages in scope |
|---|---|
| For certain parties, when no BIC is present, the Fedwire Funds Service will only require Name instead of Name and Postal Address. | pacs.008 pacs.009 pacs.004 pain.013 pain.014 |
Testing
This change will be available in the DIT2 environment on September 3, 2024. For organizations who have already completed their DIT2 certification testing, we will not require you to repeat your certification testing as you have successfully tested against the more rigorous postal address requirement. However, we highly encourage you to test this change as part of your overall readiness for the migration.
Please contact us or connect with your relationship manager if you have any questions about this communication.