Notice to Financial Institutions Processing Federal Government U.S. Treasury Check Payments
October 3, 2023
Financial institutions are receiving this notice to communicate Treasury’s plan to implement technology upgrades to their post payment processing systems on December 9, 2023.
What and when is this happening?
Treasury will be implementing some technology upgrades to their post payment processing systems on December 9, 2023. As a result, there will be operational impacts and benefits to financial institutions.
What is the impact?
- Check Returns – Checks, in most cases, are scheduled to be returned on date of receipt if the item is received prior to 8:00 a.m. ET. Treasury’s post payment processing system is scheduled to generate a return Image Cash Letter (ICL) file prior to the 12:30 p.m. ET Federal Reserve Bank cutoff.
- Adjustments – Adjustments for duplicate checks, encoding errors, and other processing exceptions will be sent to the Federal Reserve Bank prior to the 4:30 p.m. ET cutoff. These adjustments will process faster and be sent to financial institutions earlier than previously received.
- Treasury Check Verification System (TCVS) – Because Treasury will be processing check returns and duplicate checks faster, updates to TCVS will occur more timely.
Who can I contact?
If you have any questions or concerns, please contact our Post Payment Modernization group at PPMI@fiscal.treasury.gov.
This communication was sent by the Federal Reserve Banks on behalf of the U.S. Department of the Treasury, Bureau of the Fiscal Service.