New York Clearing House reports on payments stability

New York Clearing House reports on payments stability

The following statement was released by Jeffrey Neubert, president and CEO of the New York Clearing House: "All of the payment systems operated by the New York Clearing House remained operational during the tragic events on Tuesday, September 11, 2001.

"The New York Clearing House operates the largest private sector, U.S. dollar based, electronic payment networks in North America. More than $1.3 trillion a day moves through our two primary payment channels, the Clearing House Interbank Payments System (CHIPS) or our Electronic Payments Network (EPN).

"As it has in the past two days, CHIPS continues to process all payment activity in its usual manner. Banks that were directly affected resumed operations from their disaster contingency centers. Our payments volume was slightly lower than average the past two days and settlement was completed as usual.

"We extended the processing days to accommodate some banks working from contingency sites. We continue to monitor the situation and are working closely with the Federal Reserve, State and National Bank Regulators, Depository Trust Clearing Corporation and our member banks.

"Our ACH operations were unaffected by the disaster and continue to process all payment activity in a normal manner. All deadlines were met and we anticipate no interruptions in service or capabilities.

"Working with our member banks, we temporarily suspended the ECP Operations on the day of the disaster due to logistical problems related to curtailed air transportation and the situation in lower Manhattan. We are monitoring the situation with our member banks and aviation officials each day to determine the best time to resume operations.

"All check exchange settlements were completed on the day of the disaster. Multi-lateral exchanges took place from our Long Island location and bi-lateral exchanges occurred directly from our member banks' New Jersey locations. Nationwide, check volume is reduced due to the inability to move checks via air transport. Clearing House participating banks used the Federal Reserves site (EROC) to do physical exchanges on Thursday and will do the same again on Friday, September 14, 2001. The NYCH will continue to perform all settlements on an ongoing basis."

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