This month, President Trump called on the federal government to phase out paper checks and transition entirely to electronic payments by September 30, 2025—a step toward modernizing the U.S. financial system. Meanwhile, regulatory agencies—the Federal Deposit Insurance Corporation, the Federal Reserve Board, and the Office of the Comptroller of the Currency—announced plans to propose rescinding the Community Reinvestment Act (CRA) final rule enacted in October 2023 and reinstating the previous CRA framework that existed before the 2023 changes.
Shifting focus, Nacha unveiled its Top 50 rankings of financial institution originators and receivers of ACH payments for 2024. The Clearing House’s ACH Network continues to demonstrate impressive growth, now accounting for half of the U.S. commercial ACH volume. Meanwhile, Zelle officially retired its standalone app on April 1, 2025, noting that over 98% of users access the service through their online banking platforms instead of the app.
Finally, don’t miss NEACH’s Payments Management Conference, the region’s premier payment professionals’ event, at Foxwoods Resort Casino on May 19-20, 2025, which will address the latest developments in the payments space. Read on to learn more.
Top News Headlines
President Trump Calls on Federal Government to Phase Out Paper Checks and Transition to Electronic Payments
President Trump issued an executive order mandating that the federal government phase out paper checks, except in specific cases, and transition to electronic payments by September 30, 2025. Exceptions will apply for individuals without access to banking or electronic payment systems, as well as for emergency transactions, designated law enforcement activities, and other qualifying cases under the order or applicable law.
This shift reflects broader concerns about the inefficiencies of paper-based payments. According to the March 25 executive order, checks and money orders introduce unnecessary costs, delays, and risks, including fraud, lost payments, and theft. A fact sheet issued by the White House on the same day emphasized the government's push toward electronic payments as part of an effort to modernize financial management. The transition aims to enhance efficiency, reduce costs, and strengthen protections against fraud, reinforcing the advantages of digital transactions.
“In today’s modern, digital economy, the persistence of checks is not only outdated but also outright dangerous,” FPC Executive Director and CEO Reed Luhtanen said in a company news release. “Check fraud is rapidly becoming the single biggest problem for our financial system at a time when check usage should frankly be going the way of the landline.”
“This is the tipping point moment many of us have been waiting for,” added Luhtanen.
Banking Regulators to Rescind 2023 Community Reinvestment Act Rule
In other news, federal bank regulatory agencies (the Federal Deposit Insurance Corporation, the Federal Reserve Board, and the Office of the Comptroller of the Currency) announced on March 28 that, due to pending litigation, they intend to propose both the rescission of the Community Reinvestment Act (CRA) final rule enacted in October 2023 and the reinstatement of the CRA framework that existed before this final rule. The agencies will continue to collaborate to promote a consistent regulatory approach in their CRA implementation.
As the ABA Banking Journal pointed out:
The agencies first proposed the rule in 2022 as part of a long-planned overhaul of the CRA framework. They finalized the rule the following year, although the Fed and FDIC board votes were not unanimous. The American Bankers Association, U.S. Chamber of Commerce and five national and state associations later sued the banking agencies in federal court, arguing that regulators exceeded their statutory authority. A federal judge last year issued a preliminary injunction against enforcing the rule.
According to the news outlet, the ABA and other plaintiffs welcomed the announcement, stating that “rescinding the rule is the right decision.”
Nacha
Nacha announced the release of its Top 50 rankings of financial institution originators and receivers of ACH payments for 2024.
“Among originating institutions, the Top 50 were responsible for 29.7 billion ACH payments in 2024, up 7.4% from a year earlier,” a company news release stated. “They accounted for 93.8% of the ACH Network’s total commercial payments volume.”
The top 50 receiving institutions processed nearly 22 billion ACH payments last year, reflecting a 10.4% increase from 2023. Together, these institutions handled 65.5% of the total ACH Network volume, including payments received from the federal government.
“Businesses and consumers nationwide rely on the ACH Network to deliver wages, pay bills and vendors, transfer funds, and much more. Financial institutions are the backbone in securely moving these funds through the ACH Network,” Michael Herd, Nacha Executive Vice President, ACH Network Administration, stated.
The complete Top 50 lists can be downloaded as a PDF.
The Clearing House
According to a company news release, the Clearing House’s ACH Network continues its multiyear growth trend, accounting for half of the U.S. commercial ACH volume.
“Transaction volume on the EPN® system, the ACH network operated by The Clearing House Payments Company L.L.C., grew 6.2% in 2024, continuing the trend of yearly ACH volume and value growth,” stated a company news release. “In 2024, the EPN system processed 20.7 billion transactions worth $56.4 trillion, approximately half of the U.S. ACH commercial volume last year.”
“The Clearing House’s EPN network continues its outstanding growth rate,” Jason Carone, Senior Vice President of EPN Product Management at The Clearing House, stated. "Consumers and businesses appreciate the convenience and security provided with electronic payments. We see growth in all our payment networks, particularly with instant payments and Same Day ACH payments.”
Since 2021, the EPN network’s growth has consistently outpaced the broader ACH industry, with The Clearing House’s network expanding at an average rate of 7.4% per year as businesses and consumers increasingly adopt electronic payments. This upward trend continues into 2025, with a record-breaking single-day transaction volume of over 152.4 million on February 14. As the industry’s private-sector ACH network, EPN supports financial institutions in processing and settling ACH transactions while providing related services. Year over year, it maintains steady growth, reliably handling an average of 82 million transactions daily.
Zelle
Meanwhile, Zelle permanently shut down its standalone app on April 1, 2025, primarily because the vast majority of users—more than 98%—were accessing the service through their online banking apps rather than the separate Zelle app. With only a small percentage relying on the standalone version, the company deemed it unnecessary to continue maintaining and supporting the app, opting to streamline its services through its banking platforms instead.
“The vision for Zelle® has always been a solution that allows people to send and receive money to and from those they know and trust directly between bank accounts,” the company stated in its 2024 news release first announcing the change. “Today, the vast majority of people using Zelle to send money use it through their financial institution’s mobile app or online banking experience, and we believe this is the best place for Zelle transactions to occur.”
Miscellaneous
FDIC Clarifies Process for Banks to Engage in Crypto-Related Activities
On March 28, the Federal Deposit Insurance Corporation (FDIC) issued a Financial Institution Letter (FIL-7-2025) that provides new guidance for FDIC-supervised institutions engaging in or seeking to engage in crypto-related activities, according to an agency news release. The new guidance, which rescinds FIL-16-2022, clarifies that FDIC-supervised institutions may participate in allowable crypto-related activities without needing prior FDIC approval.
“With today’s action, the FDIC is turning the page on the flawed approach of the past three years,” FDIC Acting Chairman Travis Hill said in the release. “I expect this to be one of several steps the FDIC will take to lay out a new approach for how banks can engage in crypto- and blockchain-related activities in accordance with safety and soundness standards.”
The FDIC continues to engage with the President’s Working Group on Digital Asset Markets and plans to issue additional guidance to clarify banks’ participation in certain crypto-related activities as it becomes available.
NEACH
These and other topics will be discussed at NEACH’s 2025 Payments Management Conference, scheduled for May 19-20 at Foxwoods Resort Casino. The conference is just over a month away, and registration is open. Over two dynamic days, attendees—from executives and strategists to analysts and technologists—will come together for education, networking, and industry advancement.
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AUTHOR: Joe Casali, AAP, NCP
Executive Vice President
As the EVP of Payments Innovation for NEACH, Joe focuses on exploring innovative solutions and technologies that will help position members for success, both now and in the future. Connect with Joe to read more of his blogs, articles, and posts.
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NEACH - New England Automated Clearing House Association is a neutral, member-focused advocate. Our role is to give you the intelligence, context, and connections you need to make informed strategic decisions. We bring together industry leaders, policymakers, and innovators so you can evaluate innovation through the lens of your institution’s mission and market strategy. For more information, visit neach.org.