Importantly, because the Reserve Banks must compete for customers, they must  BIS Review 88/1997  -3-  provide services that meet or exceed the quality of other providers and must ensure that internal operations are efficient.
As a regulator, the Federal Reserve has taken steps to improve the efficiency and effectiveness of the payments system, often with the full awareness that it was moving contrary to its own narrow competitive interests as a service provider. The Expedited Funds Availability Act of 1987, which was implemented through Regulation CC, included provisions designed to speed the processing of dishonored checks.