This TCH working paper offers recommendations on how to evolve the existing payments system. A response to the Federal Reserve Banks’ Payments System Improvements – Public Consultation Paper, published in September 2013, the working paper focuses on the need to ensure the safety, soundness and sustainable economics of the U.S. payment system, and to continue to deliver superior payment services to consumers and businesses. The paper also sets forth TCH’s four recommendations regarding optimal payment system evolution and outcomes.