Daylight Overdraft Reporting and Pricing Systems
A daylight overdraft occurs at any point in the business day when the balance in an institution's account becomes negative. To monitor an institution's overdraft activity and its compliance with the PSR policy and to calculate daylight overdraft charges, the Federal Reserve has developed the Daylight Overdraft Reporting and Pricing System (DORPS). DORPS captures all debits and credits from an institution's payment activity and calculates end-of-minute account balances using the daylight overdraft posting rules.
DORPS Reports
The Reserve Banks use DORPS to generate various reports at the end of each day and at the end of each two-week reserve maintenance period. Daily reports are used by Reserve Bank PSR monitoring staff and by some institutions. The two-week reserve maintenance period reports capture information, such as peak daily overdrafts for the period, overdrafts in excess of net debit cap, book-entry overdrafts, non-Fedwire account activity, end-of-minute account balances for a particular day, and related ratios, such as the peak daily overdraft relative to net debit cap.
Reserve Banks generally provide DORPS reports to institutions in the process of counseling for daylight overdrafts in excess of their cap and for the assessment of daylight overdraft fees. These reports are available in electronic and paper form. Reserve Banks may also make these reports available to institutions to assist in their internal account monitoring and control. Institutions not incurring daylight overdrafts, or in some cases daylight overdraft fees, for a particular day, generally will not receive daylight overdraft reports.
