Fed Extends Measures to Support Intraday Credit

The Federal Reserve announced today that it would extend several temporary actions to increase the availability of intraday credit extended by the Federal Reserve Banks on both a collateralized and uncollateralized basis. The measures—which were set to expire on Sept. 30—will be extended to March 31, 2021.

The Fed will maintain its suspension of uncollateralized intraday credit limits and waiver of overdraft fees for institutions that are eligible to participate in the primary credit program for the discount window. It will also continue to permit a streamlined procedure for secondary credit institutions to request collateralized intraday credit and will continue to suspend two collections of information it uses to calculate net debit caps.