[{"data":1,"prerenderedAt":76},["ShallowReactive",2],{"post-what-is-fedwire":3},{"id":4,"title":5,"body":6,"categories":64,"date":66,"description":67,"extension":68,"meta":69,"navigation":70,"path":71,"seo":72,"stem":73,"tags":74,"__hash__":75},"blog\u002Fblog\u002Foutput\u002Fposts\u002F2023-03-27-what-is-fedwire\u002Findex.md","What is FedWire Funds Service? US RTGS System Explained",{"type":7,"value":8,"toc":59},"minimark",[9,17,34,37,40,43,48,53,56],[10,11,12],"p",{},[13,14],"img",{"alt":15,"src":16,"title":15},"Fedwire logo","\u002Fimages\u002F2023-03-27-what-is-fedwire\u002FFedwire.png",[10,18,19,20,27,28,33],{},"FedWire (Fedwire Funds Service) is a ",[21,22,26],"a",{"href":23,"rel":24},"https:\u002F\u002Fdavegarry.com\u002Fwhat-is-real-time-gross-settlement\u002F",[25],"nofollow","RTGS"," high value payment system run by ",[21,29,32],{"href":30,"rel":31},"https:\u002F\u002Fwww.federalreserve.gov\u002F",[25],"federal reserve"," banks in the United States.",[10,35,36],{},"As Fedwire is an RTGS, payments are settled immediately and are irrevocable. Fedwrite transfers trillions of dollars daily. This is advantage over its nearest competitor, CHIPS, which uses an end-of-day net settlement process.",[10,38,39],{},"Fedwire is used banks, businesses, and government agencies for large, same-day transactions. It is a credit transfer service, so transfers are always a payment from a sender to a receiver. It does not have a direct debit facility so a financial institution cannot pull funds from another financial institution.",[10,41,42],{},"In order to be eligible to participate in Fedwire a financial institution must have an account with one of the 12 federal reserve banks. If a financial institution does not have an account with the federal reserve, it must partner with one that does. This is known as a correspondent relationship.",[44,45,47],"h2",{"id":46},"how-does-fedwire-work","How does Fedwire work?",[10,49,50],{},[13,51],{"alt":47,"src":52,"title":47},"\u002Fimages\u002F2023-03-27-what-is-fedwire\u002Fimage-7-1024x561.png",[10,54,55],{},"A sender bank initiates a funds transfer by instructing its Federal Reserve Bank, to debit funds from its own master account and credit funds to the master account of another recipient bank.",[10,57,58],{},"The federal reserve bank will holds account for both sender and recipient and settles transactions individually and immediately.",{"title":60,"searchDepth":61,"depth":61,"links":62},"",2,[63],{"id":46,"depth":61,"text":47},[65],"rtgs","2023-03-27","A technical overview of the FedWire Funds Service, the US Real-Time Gross Settlement (RTGS) system. Learn how it works, its participants, and its role in fintech.","md",{},true,"\u002Fblog\u002Foutput\u002Fposts\u002F2023-03-27-what-is-fedwire",{"title":5,"description":67},"blog\u002Foutput\u002Fposts\u002F2023-03-27-what-is-fedwire\u002Findex",null,"el_H2h4KDXy-Vx-WLhc1d5c__UpWVdTG0fnh98mEn0o",1779461565913]