The Federal Reserve Board on Wednesday announced the approval of fee schedules, effective January 3, 2022, for payment services the Federal Reserve Banks provide to depository institutions, known as priced services.
Overall, the Reserve Banks estimate that the price changes will result in a 3.7 percent average price increase. Increases in the fee schedule for 2022 are generally similar to previous years, except 2021 where fees other than the Check Services Participation Fee remained flat. The 2022 fee schedule for each of the priced services is available on the Federal Reserve Banks' financial services website at FRBservices.org®.
The Reserve Banks project that they will recover 97.1 percent of their priced services costs in 2022. While the Reserve Banks do not expect to fully recover actual and imputed expenses, including profit that would have been earned if a private-sector firm provided the services, they do expect to fully recover expenses over the long run.
The Board also approved the 2022 private-sector adjustment factor (PSAF) of $19.4 million for Reserve Bank priced services. The PSAF is an allowance for imputed costs and imputed profit that would have resulted if the Reserve Banks' priced services were provided by a private business. The Monetary Control Act of 1980 requires that the Federal Reserve establish fees to recover the costs of providing priced services, including imputed costs, over the long run, to promote competition between the Reserve Banks and private-sector service providers.
