Funds transferred on the Clearinghouse Internet Payment System (CHIPS) are settled at the end of the day rather than intra-day as with the Fedwire system.

Question

Quizplus · Accepted Answer

CHIPS uses a real-time system for transferring funds, not an end-of-day settlement system. Unlike CHIPS, Fedwire operates on a real-time gross settlement basis, meaning transactions are processed individually at the time they are received.

Funds Transferred on the Clearinghouse Internet Payment System (CHIPS) Are