Two House members introduced the Payments Access and Consumer Efficiency (PACE) Act on April 21, giving nonbank payment service providers a federal path to Fedwire and the National Settlement Service through the Office of the Comptroller of the Currency.
Reps. Young Kim, R-Calif., and Sam Liccardo, D-Calif., sponsored the bill. It creates an optional federal supervisory framework for companies like money transmitters that currently hold 40 state licenses to operate nationwide. Under OCC oversight, “qualified payment companies” would skip the 40-license scramble. They’d get federal registration instead, provided they meet a defined set of conditions: 1:1 reserves, risk and record-keeping standards, and consumer protections.
The draw for fintechs is direct settlement. Right now, it’s routed through bank intermediaries that add time and cost. Kim’s argument: “Hardworking Americans shouldn’t have to wait days to access their own money or pay extra just to move it.” Liccardo added that broader access would cut the bank fees burdening too many families.
Four industry groups backed the bill: the Financial Technology Association, the Blockchain Association, The Digital Chamber, and the Crypto Council for Innovation. FTA president and CEO Penny Lee called the current wait on direct deposits and vendor checks unacceptable.
The PACE Act’s timing tracks with a separate Fed initiative. The Fed plans to expand Fedwire Funds Service and National Settlement Service operating days to Sunday through Friday, including weekday holidays, with the changeover set for 2028 or 2029. A fintech that clears OCC registration under the PACE Act would be positioned to use that expanded schedule from day one.
No committee markup date has been set.
James Okafor