FedNow Payments available for all FFCU members to receive!

You may have heard the term “FedNow® payments” popping up over the past year and wondered what all the buzz is about. You’re not alone. The concept itself is pretty straightforward, but the details can feel a little technical at first glance. The good news is that FedNow represents an exciting new capability for our members. Let’s break it down and start with the big question most people are asking.

What are FedNow Payments?

FedNow is a service that allows money to move between financial institutions in real time, typically within seconds. Because the system does not rely on manual processing, it operates 24 hours a day, 7 days a week, 365 days a year.

Behind the scenes, there is a series of technical steps that make this possible. The Federal Reserve explains those details in this video. From a member perspective, the experience is simple. When a payment is sent through FedNow, the funds arrive in your account almost immediately.

Traditionally, transferring money between financial institutions means waiting at least one business day, and often longer. FedNow payments dramatically reduce that delay.

This also impacts how many of us manage bill payments. Today, it is common to schedule payments several days early just in case a transfer takes longer than expected. With instant payments, that extra planning and guesswork may no longer be necessary. Payments could be made right when they are scheduled.

Are FedNow Payments available for FFCU members?

We are excited about the convenience FedNow payments can offer. At this time, all FFCU members are eligible to receive instant payments from financial institutions that choose to send funds using FedNow.

Currently, members are not able to send instant payments from FFCU accounts. This is something we are actively exploring, and we will be sure to keep members informed if this option becomes available in the future.

One important note to remember is that FFCU does not control when another institution sends a payment using FedNow. However, if a payment is sent instantly through the service, our members can receive it right away.

What are some benefits of FedNow Payments?

There are several real world situations where FedNow payments can make a noticeable difference.

- Gig workers and contractors could receive payment immediately after completing a job, whether that payment comes directly from a client or through an employer’s financial institution that uses FedNow.

- Getting paid instantly on payday is another possibility. Most payroll today runs through Automated Clearing House, or ACH, which typically takes three to five days to process. While not every employer will shift to FedNow, some may offer instant payroll as an added benefit as adoption grows.

- Imagine you are out to dinner with a group of friends and you cover the entire bill. If everyone sends you their share using FedNow, the money could land in your account right away.

- FedNow can also be helpful in emergency situations. If an insurance claim is approved, an insurer could send funds immediately rather than mailing a paper check. While not all insurers will offer this option, it is expected to become more common over time.

The Federal Reserve highlights additional use cases in this helpful video.

What needs to happen for instant payments to work?

For a FedNow payment to be successful, both the sending financial institution and the receiving financial institution must participate in FedNow and choose to send funds through the service.

In some cases, you may need to provide the sender with FFCU’s routing number along with your full 13 digit account number. You can find your account number by logging into online banking, selecting the account where you want funds deposited, and scrolling to the “Details” section.

Because FFCU can currently receive but not send FedNow payments, the decision to send funds instantly is made by the institution sending you the money.

Is FedNow safe to use?

Yes. FedNow includes additional fraud prevention safeguards that work alongside existing protections. While no system can completely eliminate fraud, these added layers help enhance security. As always, we encourage members to remain alert for scams and report any suspected fraud as soon as possible.

Do I need a FedNow app or separate login?

No. There is no new app or login required. FedNow payments occur directly between financial institutions, unlike services such as PayPal, Venmo, or Apple Pay that rely on third party platforms.

How is FedNow different from Paypal, Venmo, or Apple Pay?

Many payment apps temporarily hold your funds before they reach your account, and same day access often comes with a fee. FedNow payments are different. Funds are deposited directly into your account in real time, so your money is available when you need it without waiting or paying extra.

Enjoy FedNow right now!

At FFCU, we are always focused on bringing our members the best financial tools available. FedNow payments are quickly becoming a preferred feature across the financial industry, and we are excited to offer instant payment receiving today.

We will continue to share updates as FedNow evolves and will communicate details if the option to send instant payments becomes available. Be sure to follow FFCU on social media and keep an eye on our blog for the latest updates.