Prior to that Act, only Federal Reserve member banks were permitted to use the Federal Reserve's (free) payment services. Nonmembers typically cleared checks through a network of upstream correspondent banks that were Federal Reserve members. The MCA confirmed the Federal Reserve's role as a key provider of services and required the Federal Reserve to provide payment services to both member and nonmember banks.
Most importantly, the MCA required the Federal Reserve to price its payment services and to fully recover the costs of providing those services, including imputed taxes and profits. The purpose of this requirement was to avoid having the central bank underprice payment services in a way that would undercut the existence and growth of private-sector alternatives.