The U.S. Department of the Treasury’s Bureau of the Fiscal Service (Fiscal Service) announced it has added the FedNow Service for instant disbursements for federal agencies, including FEMA, as part of its Digital Payout program (Off-site).
In a press release, Marshall Henry, director of the Fiscal Service Digital Disbursement and Debit Card Solutions program, said, “We’re excited to offer instant payments as an option in our Digital Payout tool for our agency partners. Treasury is uniquely positioned to support federal programs and mitigate the risk of financial fraud by leveraging using efficient and modern technologies like the FedNow Service. Adding the service to our suite of digital payment options supports Treasury’s long-term goal for federal financial management and the push for electronic payments, that allow safer, quicker access to funds and have less risk of fraud. We remain dedicated to advancing the tools, services and data available to support federal agencies nationwide.”
The inclusion of the FedNow Service into Treasury’s Digital Payout program will equip agencies with a modern and efficient way to provide instant payments to individuals and organizations across the country.
“The expansion of instant payments into federal disbursements is significant — it brings immediacy of money movement to people when they need it most,” said Mark Gould, chief payments executive for Federal Reserve Financial Services. “The ability to meet need with speed will be a key differentiator for both agencies and financial institutions that participate in the FedNow Service. We look forward to the benefits that greater access to instant payments will bring to more people’s lives.”
Earlier this month, Federal Reserve Financial Services announced the FedNow Service was being used to deliver disaster recovery payments (Off-site).
Read the full press release (Off-site) from Fiscal Service to learn more about this instant payments milestone.
