SWIFT vs Fedwire

Last reviewed: · Curated by Ohmyfin Organisation editorial.

Fedwire is the Federal Reserve's real-time gross settlement system for USD inside the US. SWIFT is the global messaging network for cross-border payments. They work together: an inbound USD wire to a US beneficiary typically arrives via SWIFT MT103, then settles in the US on Fedwire.

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Details

Fedwire is same-day, irrevocable, and settles in central-bank money. It runs from 21:00 ET the prior day to 19:00 ET on the cycle day.

SWIFT does not settle anything — it only carries the message. Settlement happens in each currency's domestic RTGS (Fedwire for USD, TARGET2 for EUR, CHAPS for GBP, BOJ-NET for JPY, etc).

A USD payment from Germany to a US beneficiary therefore uses SWIFT for the cross-border leg and Fedwire for the final US settlement.

At-a-glance comparison

SWIFT vs Fedwire — side-by-side comparison
 SWIFTFedwire
OperatorSWIFT cooperativeUS Federal Reserve
RoleCross-border messagingUS domestic RTGS
CurrencyAnyUSD only
SpeedSame-day GPIReal-time intra-day
FinalityFinal at settlementFinal at credit (irrevocable)
TrackingUETRIMAD / OMAD
Cut-offPer-currency19:00 ET

Key facts

Frequently asked questions

Can Ohmyfin track Fedwire-only payments?

Ohmyfin tracks SWIFT GPI. Fedwire-only intra-US wires are tracked by the originating bank using IMAD/OMAD references.

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