Download This PaperMarket Responses to Pricing Fedwire Daylight Overdrafts
FRB Richmond Economic Review, Vol. 75, No. 3, May/June 1989, pp. 23-34
12 Pages Posted: 2 Nov 2012
Date Written: 1989
Abstract
The Federal Reserve is considering pricing daylight overdrafts on Fedwire. The market could respond in four ways. Estimates of the effect of each on reducing overdrafts leads to the conclusion that funds transfer overdrafts could virtually be eliminated.
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