Directo a México Remittance Service Closes 20 November
ECONOMY · MEXICO
Key Facts
- —The country Mexico received US$41.8 billion in remittances from January to August 2026, up 2.2% on a year earlier, according to central bank data published on 1 October.
- —What happened On 2 October the Banco de México said its bank-to-bank transfer service with the United States will close on 20 November 2026, after the US Federal Reserve Banks withdrew.
- —The numbers The Fed announced on 25 November 2025 that it would end these payments to Mexico and Panama, citing “steep declines in transaction volumes”. It has published no figures.
- —What it means for you Transfers run normally until 20 November. People who send or receive money this way, including US pension payments, should ask their bank about another route now.
- —Still open How many people still use the service, how much it carries, and how US agencies will route pensions after 20 November.
Mexico’s central bank will close Directo a México, its bank-to-bank channel for money sent from the United States, on 20 November 2026. The Banco de México (Banxico) announced it on Friday 2 October, after the US Federal Reserve Banks stopped running the service.
The link has let customers of US banks send dollars straight into Mexican bank accounts since 2004. Banxico said operations will continue normally until the closing date, so pending transfers can be processed and settled.
Why the Fed is pulling out
The decision was taken in the United States, not in Mexico City. Federal Reserve Financial Services, which runs payment services for US banks, announced it on 25 November 2025.
It said it would discontinue FedGlobal ACH payments to Mexico and Panama, the automated bank transfers behind the service. The Fed said the move was “driven by steep declines in transaction volumes reflecting diminished market relevance”.
Banxico said the step matches other cross-border corridors the Fed has already closed, Expansión reported. The central bank promised an orderly closure, coordinated with the Fed.
Some Mexican headlines on Friday framed the closure as an order from Washington. The Fed’s own notice, issued ten months earlier, cites falling use and does not mention migration policy.
A pension channel first
Mexico and the United States began studying a link between their payment systems in 2001, according to Expansión. The first connection, in October 2003, carried US government pension payments to Mexico.
From February 2004 customers of US financial institutions could also send money to Mexican accounts. The service was registered under its present name in July 2005.
Pensions still dominate. El CEO reported that, according to Banxico, a predominant part of the flow corresponds to US government pension payments.
Remittances keep flowing
The closing channel is one route among many for Mexico’s remittance income. Banxico data published on 1 October show US$41.8 billion arrived from January to August 2026, up 2.2% on a year earlier.
August alone brought US$5.45 billion, down 3.6% year on year and ending six months of gains. The number of transfers fell 6.4%, while the average amount rose to about US$412.
Banamex, a large Mexican bank, expects about 3% growth this year after a 3.9% fall in 2025, La Silla Rota reported. Banamex estimates that, adjusted for inflation and the exchange rate, August inflows were 13.8% lower in pesos.
The dollar and peso trends have diverged all year, as covered in Mexico Remittances Rise in Dollars and Fall in Pesos. The wider regional picture is in Mexico Remittance Rebound Reaches 3.8% as Latin America Braces for US Tax Vote.
What senders and pensioners can do
Nothing changes before 20 November, and transfers started before then should settle as usual. Banxico directs users to the official Directo a México website for further information.
The Fed has told US banks to move customers to alternative providers promptly. Anyone receiving a US pension this way should ask the paying bank how payments will arrive after November.
What Is Not Yet Known
Neither Banxico nor the Fed has said how many people still use the service, or how much money it moves. Banxico’s statement, as reported, names no replacement channel.
It is also unclear how US agencies paying pensions in Mexico will route those payments after 20 November. No public plan from them had been reported by 3 October.
Sources: Expansión; El CEO; Federal Reserve Financial Services; Banxico programme microsite; Alto Nivel; La Silla Rota.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
In depth
LatAm Markets: Live Signals → — real-time movers, turnover leaders and FX across Latin America.