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Finzly , the pioneering provider of modern money movement systems to financial institutions, has announced its achievement as one of the first Third-PartyService Providers (TPSP) to be certified for compliance to ISO 20022 messagingstandards for Fedwire.
The impending March 2025 migration deadline of FedWire to the ISO 20022 standard by all financial institutions (FIs) presents a strategic opportunity to revolutionize their payment infrastructure and services, according to a new Datos report, sponsored by Finzly , the pioneering provider of modern payments systems.
Readiness for both ISO 20022 messagingstandards for Fedwire and the FedNow Service are critically important for community-based financial institutions to stay competitive and compliant as the instant payments space continues to evolve,” said Erika Baumann, Director Commercial Banking and Payments at Datos Insights.
The Payments Market Practice Group asked the Federal Reserve to reassess its approach to the project, which involves a three-phased migration to the ISO 20022 messagingstandard for the Fedwire Funds Service. The industry group prefers same-day implementation. .
The certification, which enables and supports compliance to ISO 20022 messagingstandards for Fedwire, applies to four of Finastra’s payment processing solutions, facilitating increased innovation for financial institutions across the United States.
ISO 20022 is a messagingstandard used across the financial industry. In the domestic Real-Time Gross Settlement (RTGS)/Wire and cross-border payment spaces, transformation to the most recent ISO 20022 (HVPS+ and CBPR+) messagingstandards has been ongoing since 2022.
Backbase, leveraging Alacriti’s Orbipay Payments Hub , will support end-to-end payment orchestration and processing through the RTP® network, the FedNow® Service, Visa Direct, Fedwire, and ACH payment rails.
This includes the implementation of ISO 20022 messagingstandards across organizations like NACHA and SWIFT. While its Strategies paper explored potential enhancements to the Fedwire Funds Service to bolster cross-border payments capabilities, the Fed said it is no longer pursuing that effort.
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