Community banks in particular may incur additional costs, for example to extend operating hours in order to facilitate payments during nonstandard business hours. However, technological advances also present opportunities for community banks to continue serving their neighbors, and payment services are a key component of this.
Since I joined the Federal Reserve, I have been on the road a lot, visiting Federal Reserve Districts and talking to bankers, consumers, and community groups. I have been struck in particular by stories I have heard about younger generations of Americans moving back to rural areas.