The Emergence of Check Imaging Technologies and the Impacts of to Banks and Consumer and Small Business Customers
P501 Operations Management
Spring 2013
Term Paper
The Emergence of Check Imaging Technologies and the Impacts of to Banks and Consumer and Small Business Customers
Thanks in part to advancements in check imaging technology; financial institutions have an opportunity to make major changes to outdated check processing systems. Bank executives are weighing the benefits with the potential risks of updating a system that has been virtually untouched since the 1970’s.
These emerging imaging technologies have the potential to remove the high transportations costs associated with transporting physical checks and reduce the flow time (float) it takes between check deposit and funds availability.
This paper will focus on the three most popular applications of the new check imaging solutions including Banking Center Remote Capture, Remote Deposit Capture for Small Businesses, and Mobile Banking.
Introduction
Financial institutions around the world are in the midst of an unprecedented transformation in the check-processing arena. Due to new technologies, high overhead costs, and demands from customers, banks big and small are being forced to abandon the conventional check processing systems that have remained untouched for nearly 50 years. With nearly 55 billion paper items processed annually, the conventional check processing systems are laborious and manual process that prolong fund availability to the customer and require costly transportation vendors to transfer checks from banking centers to check processing site.
Thanks in part to major advances in check imaging technologies, in addition to Check 21 legislation; banks now have the opportunity to move away from the conventional check processing into a leaner process that will likely positively impact both the bank and the customers’ experience. The check processing solutions that utilize high-tech imaging solutions to truncate checks reduces the need
Spring 2013
Term Paper
The Emergence of Check Imaging Technologies and the Impacts of to Banks and Consumer and Small Business Customers
Thanks in part to advancements in check imaging technology; financial institutions have an opportunity to make major changes to outdated check processing systems. Bank executives are weighing the benefits with the potential risks of updating a system that has been virtually untouched since the 1970’s.
These emerging imaging technologies have the potential to remove the high transportations costs associated with transporting physical checks and reduce the flow time (float) it takes between check deposit and funds availability.
This paper will focus on the three most popular applications of the new check imaging solutions including Banking Center Remote Capture, Remote Deposit Capture for Small Businesses, and Mobile Banking.
Introduction
Financial institutions around the world are in the midst of an unprecedented transformation in the check-processing arena. Due to new technologies, high overhead costs, and demands from customers, banks big and small are being forced to abandon the conventional check processing systems that have remained untouched for nearly 50 years. With nearly 55 billion paper items processed annually, the conventional check processing systems are laborious and manual process that prolong fund availability to the customer and require costly transportation vendors to transfer checks from banking centers to check processing site.
Thanks in part to major advances in check imaging technologies, in addition to Check 21 legislation; banks now have the opportunity to move away from the conventional check processing into a leaner process that will likely positively impact both the bank and the customers’ experience. The check processing solutions that utilize high-tech imaging solutions to truncate checks reduces the need