On October 18, Federal Reserve Board Governor, Jerome H. Powell, spoke at the 41st Annual Central Banking Seminar regarding the impact of technology on retail banking and payment services. Powell noted that rapidly changing technology for more timely and convenient payment methods, “should not come at the cost of a safe and secure payment system. . .” In doing so, he encouraged banks, fintech companies, and all other stakeholders in the industry to collaborate to achieve a payment system that is reliable, secure, and convenient.
Powell went on to highlight the work of the Faster Payments Task Force (as previously covered by InfoBytes) and the Secure Payments Task Force. For secure payments, he discussed the Federal Reserve’s plan to launch a study analyzing payment security vulnerabilities in early 2018 and its plan to establish work groups focused on approaches for reducing the prevalence and cost of specific payment security vulnerabilities.
As covered by InfoBytes, the OCC Acting Comptroller of Currency, Keith A. Noreika, also recently spoke about the continuing innovation of banks and fintech companies within the financial technology sector.