Abstract
It is useful to begin a discussion of payment system risk with a brief overview of the payment system itself so that we can share a common understanding of the mechanism, its size, and its complexity before we begin to discuss the questions of risk. I shall present some basic statistics on the overall size of the payment system, discuss some of the mechanics, and then examine the question of the so-called daylight overdraft and describe how the Federal Reserve views that phenomenon. Finally, I will try to describe some of the proposed remedies for daylight overdrafts and some other remedies that are not so freely discussed.
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References
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© 1991 Kluwer Academic Publishers
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Milano, G.F. (1991). Payment System Risk: A Private-Sector View. In: England, C. (eds) Governing Banking’s Future: Markets vs. Regulation. Innovations in Financial Markets and Institutions. Springer, Boston, MA. https://doi.org/10.1007/978-1-4684-6714-7_11
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DOI: https://doi.org/10.1007/978-1-4684-6714-7_11
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