I 
116TH CONGRESS 
1ST SESSION H. R. 3951 
To amend the Expedited Funds Availability Act to require that funds depos-
ited be available for withdrawal in real time and to require the Board 
of Governors of the Federal Reserve System to create a real time pay-
ment system, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 24, 2019 
Ms. PRESSLEY (for herself and Mr. GARCI´A of Illinois) introduced the 
following bill; which was referred to the Committee on Financial Services 
A BILL 
To amend the Expedited Funds Availability Act to require 
that funds deposited be available for withdrawal in real 
time and to require the Board of Governors of the Fed-
eral Reserve System to create a real time payment sys-
tem, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Payments Moderniza-
tion Act of 2019’’. 
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SEC. 2. REQUIREMENT THAT FUNDS DEPOSITED BE AVAIL-
ABLE FOR WITHDRAWAL IN REAL TIME. 
(a) EXPEDITED
FUNDS
AVAILABILITY
SCHED-
ULES.—Section 603 of the Expedited Funds Availability 
Act (12 U.S.C. 4002) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1)— 
(i) by striking ‘‘Except as provided in 
subsection (e) and in section 604, in’’ and 
inserting ‘‘In’’; and 
(ii) in the matter following subpara-
graph (B) by striking ‘‘not later than the 
business day after the business day on 
which’’ and inserting ‘‘in real time when’’; 
(B) in paragraph (2) by striking ‘‘not later 
than the business day after the business day on 
which’’ and inserting ‘‘in real time after’’; and 
(C) in the subsection heading by striking 
‘‘NEXT BUSINESS DAY’’ and inserting ‘‘REAL 
TIME’’; 
(2) by striking subsection (b) and inserting the 
following: 
‘‘(b) PERMANENT SCHEDULE.—Funds deposited in 
an account at a depository institution by a check drawn 
on a local or nonlocal originating depository institution 
shall be available for withdrawal in real time.’’; 
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(3) by striking subsection (c); 
(4) by striking subsection (d); 
(5) by redesignating subsections (e) and (f) as 
subsections (c) and (d), respectively; 
(6) in subsection (c), as redesignated by para-
graph (5)— 
(A) in paragraph (1)(A)— 
(i) by striking ‘‘Not more than 4 busi-
ness days shall intervene between the busi-
ness day a’’ and inserting ‘‘A’’; 
(ii) by inserting a comma after ‘‘sub-
paragraph (B)’’; 
(iii) by striking ‘‘is’’; and 
(iv) by striking ‘‘and the business day 
on which funds from such deposit are 
available for withdrawal’’ and inserting 
‘‘shall be available for withdrawal in real 
time’’; and 
(B) in paragraph (2)— 
(i) by striking ‘‘, (b), and (c)’’ and in-
serting ‘‘and (b)’’; and 
(ii) in the paragraph heading by strik-
ing 
‘‘TEMPORARY
AND
PERMANENT 
SCHEDULES’’ and inserting ‘‘PERMANENT 
SCHEDULE’’; and 
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(7) in subsection (d), as redesignated by para-
graph (5), by striking ‘‘(c), or (e)’’ and inserting ‘‘or 
(c)’’. 
(b) SAFEGUARD EXCEPTIONS.—Section 604 of the 
Expedited Funds Availability Act (12 U.S.C. 4003) is 
amended— 
(1) in subsection (a)— 
(A) in paragraph (1)— 
(i) in the matter following subpara-
graph (D) by striking ‘‘on the business day 
after the business day on which such cash 
or funds are deposited or, in the case of a 
wire transfer, on the business day after the 
business day on which’’ and inserting ‘‘in 
real time after such cash or funds are de-
posited or, in the case of a wire transfer, 
in real time after’’; and 
(ii) in the paragraph heading by strik-
ing ‘‘NEXT BUSINESS DAY’’ and inserting 
‘‘REAL TIME’’; 
(B) in paragraph (2)— 
(i) by striking ‘‘, 603(c),’’; and 
(ii) by striking ‘‘603(e)’’ and inserting 
‘‘603(c)’’; and 
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(C) by striking paragraph (3)(B) and in-
serting the following: 
‘‘(B) any such funds deposited in excess of 
such amount shall be available for withdrawal 
in real time.’’; 
(2) in subsection (b) by striking ‘‘(c), or (e)’’ 
and inserting ‘‘or (c)’’; 
(3) in subsection (c)(1) by striking ‘‘(c), and 
(e)’’ and inserting ‘‘and (c)’’; and 
(4) in subsection (d) by striking ‘‘(c), and (e)’’ 
and inserting ‘‘and (c)’’. 
(c) MISCELLANEOUS PROVISIONS.—Section 607 of 
the Expedited Funds Availability Act (12 U.S.C. 4006) 
is amended— 
(1) by striking subsections (a) and (b); and 
(2) by redesignating subsections (c) through (f) 
as subsections (a) through (d), respectively. 
(d) REGULATIONS AND REPORTS BY BOARD.—Sec-
tion 609 of the Expedited Funds Availability Act (12 
U.S.C. 4008) is amended— 
(1) by striking subsections (d) and (f); and 
(2) by redesignating subsection (e) as sub-
section (d). 
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SEC. 3. REAL TIME PAYMENT SYSTEM. 
(a) IN GENERAL.—The Board of Governors of the 
Federal Reserve System shall create a real time payment 
system that— 
(1) at a minimum, conforms with the principles 
outlined in the final report of the Faster Payments 
Task Force of the Federal Reserve System; 
(2) allows end users have fast access to funds, 
in speeds approaching real time; 
(3) operates as a utility, allowing end users to 
reach any other end user, including unbanked, un-
derserved, and cross-border end users, regardless of 
the solution used by the end user; 
(4) prioritizes safety and soundness, consumer 
health, efficiency, and other relevant public interest 
considerations; 
(5) provides end users with the confidence and 
trust in the safety and security of the system by en-
suring that— 
(A) fraud and errors are minimized and re-
solved quickly; and 
(B) the assets, accounts, and information 
of the end user are protected, even as payments 
cross different solutions; 
(6) has transparent operating information; and 
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(7) ensures that there are no volume discounts 
made that disadvantage smaller financial institu-
tions. 
(b) REAL TIME PAYMENT SYSTEM DEFINED.—In 
this section, the term ‘‘real time payment system’’ means 
a payment-by-payment interbank settlement system that 
facilitates settlements in real time and at any time, on 
any day, including weekends and holidays. 
Æ 
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