The Federal Reserve announced pricing changes for payment services that take effect on January 1, 2027, affecting the fees that banks and credit unions pay to use central bank facilities for check clearing, automated clearing house transactions, instant payments, and wholesale payment and settlement services.
The Federal Reserve said it must establish fees to recover the costs of providing these services over the long run. The central bank expects to recover 101.5 percent of actual and imputed expenses in 2027, including the return on equity that would have been earned if a private-sector firm provided the services. Overall, the price changes will result in an estimated 1.4 percent average price increase for established, mature services.
The Federal Reserve Banks also announced adjustments to their check services. The volume of checks processed by the Federal Reserve Banks is declining, but checks remain an important payment instrument for many consumers and businesses, the central bank said. The changes were informed by public feedback and aim to ensure that the Federal Reserve Banks continue to provide check services efficiently. The adjustments include optimizing check processing windows during low-volume periods and increasing fees that banks and credit unions pay to process checks, along with other operational updates.
The Federal Reserve stressed that these changes do not impact consumers' and businesses' ability to pay with or receive checks. They only affect how banks and credit unions process checks with Federal Reserve Banks. The complete 2027 fee schedule for all payment services is available on FRBservices.org.
For banks and credit unions, the pricing changes mean higher costs for payment processing services, which they may pass on to customers through adjusted fees or reduced service levels.