Check/Check 21 Services: Article Archives

Union Bank strives for end-to-end image exchange

January 2010

Union Bank, headquartered in San Francisco, California, reached its 2009 goal to have 100 percent of inclearings processed electronically by year-end. Now, the bank is focusing on converting the remaining non-imageable items to close the gap on image exchange in 2010. Read why the Federal Reserve’s Non-imageable Service is a win-win for Union Bank.
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Check Adjustment Webinars tailored for a custom fit

December 2009

TierOne Bank scheduled a customized Check Adjustment Webinar created to meet its unique requirements. Get the details about how your organization can benefit from a customized event as well as our six standard sessions that provide practical information that can be applied immediately.
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Strategic changes lead to significant results

October 2009

Since the introduction of the Check Clearing for the 21st Century Act, the Federal Reserve Banks have taken a number of strategic steps to adapt to rapid change in the financial services industry. Each step has been directed toward removing paper from the check process to provide more efficient clearing. Read more about the steps we’ve taken and where they lead.
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Letting go of paper

October 2009

North Dallas Bank and Trust Co. shares why using our Electronic Check Adjustment Services is a quicker, easier — and paperless — way to process check adjustments.
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Check restructuring update: Processing office transition timeline

September 2009

For several years, the Reserve Banks have been restructuring their paper check processing configuration as paper volumes decline in response to the widespread adoption of Check 21-enabled services. We’ve announced the processing timetable for the remaining offices.
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Keeping up as check adjustment services evolve

July 2009

Reliable and timely check adjustment case resolution is critical to your operations, but keeping up with evolving processing methods and adjustment types can be challenging. We have access solutions, training events and tips to help you stay current.
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Running strong with Check 21

April 2009

After a slow start, electronic check processing gained widespread acceptance and picked up momentum. Now, the finish line is within sight due to an anticipated penetration rate of 90 percent or higher by year end.
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FedReceipt^® Plus for Returns: The final frontier

April 2009

By expanding the suite of Check 21-enabled Services to include FedReceipt Plus for Returns, we can now provide customers the opportunity to become electronic from end to end.
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i3G: Eliminating the final barriers to image exchange

April 2009

i3G members recently shared detailed recommendations to address four of the “last mile” exception issues that hinder image exchange. Find out what they are and what issues will be examined next.
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Fed experts live at your desktop

February 2009

Last year, well over 1,000 registrants attended Federal Reserve Bank-hosted Check Adjustment Webinars. We’re offering another round of Webinars in 2009 to help you streamline the check adjustment process. Choose which of the six sessions will benefit you most then gather your staff together for this phone-facilitated Internet training.
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Bye bye CI/Bulkdata

February 2009

Since mid-2007, the Federal Reserve Banks have been systematically discontinuing certain Payor Bank Services, while migrating customers to Check 21 presentment services. July 1 will mark the sunset date for Computer Interface (CI)/Bulkdata connections. To ensure your file delivery is not disrupted, you need to begin your transition to another delivery channel now.
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The mission of i3G: Breaking down barriers to straight-through processing

January 2009

To be sure, Check 21 has provided greater efficiency to the U.S. payments system, but financial institutions have experienced plenty of growing pains from the new world of electronic check processing. The Image Industry Interoperability Group, or i3G, is developing best practices, guidelines and standards to help financial institutions realize the full efficiencies of straight-through check processing.
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Check restructuring schedule changes reflect dramatically declining paper check volume

November 2008

Over the last several years, the Federal Reserve Banks have been restructuring their legacy check processing infrastructure in response to rapidly declining paper volumes. In March 2008, we announced a multi-year restructuring plan that targeted a transition to four regional check processing locations by early 2010. As a result of dramatically declining paper check volumes, the Federal Reserve Banks have developed a revised schedule that will significantly accelerate the timeline announced last March.
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2 options, 15,000+ receivers, numerous benefits

November 2008

Since the Check 21 Act took effect in 2004, the payments industry’s dramatic transformation has spurred new check collection technologies, processing efficiencies and cost reductions.
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Seeing double? We’re focusing on solutions

November 2008

It is safe to say that the transformation from a paper-based check collection system to one based on image clearing has occurred at a stunning pace. With the implementation of our Check 21-enabled product suite just four years ago, the Federal Reserve Banks have seen deposit volumes shift from 100 percent paper in 2004 to over 85 percent image in 2008. Moreover, image presentments now account for over 55 percent of all presentments. The goal of end-to-end image-based check collection is clearly in sight.
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Check adjustments – gaining efficiency through innovation

August 2008

From enhancements made to the FedLine Web access solution, to the introduction of Check Adjustment Webinars, the Federal Reserve Banks continue to help financial institutions streamline the check adjustment process.
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Lessons learned…putting experience into action

August 2008

After working closely with its processor to implement Check 21-enabled services, First National Bank of Olathe is realizing greater operational efficiencies and substantial cost savings.
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Extending the power of information to corporate customers

August 2008

In July 2007, the Federal Reserve Banks announced plans to migrate Payor Bank Services to Check 21-enabled presentment services. Financial institutions that utilize these services to support their Controlled Disbursement Accounts (CDA) customers must pay close attention to every detail throughout the conversion process, as these customers rely on accurate and timely information from their financial institution to effectively manage funds.
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FedReceipt^® Returns: Approaching a complete all-electronic process

August 2008

Optimizing the benefits of electronic check processing can be achieved by moving to a more complete all-electronic process – FedReceipt Returns. This service provides the bank of first deposit (BOFD) with an electronic file of all return items that have been deposited with the Federal Reserve Banks in an image return letter. As more paying banks adopt the FedReturn^® Service, the number of items that can be returned electronically continues to grow. For many institutions, this may represent at least half of their incoming returns.
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Check 21 adopters report little effect from check restructuring

August 2008

The Federal Reserve Banks recently announced an accelerated check restructuring schedule due to rapidly declining paper volume (see May 2008 FedFocus). The check processing shift from one Reserve Bank to another often spurs financial institutions to examine their conversion timelines to FedForward^® Services and other Check 21-enabled services.
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As the ePayments scale tips, a wave of new products rolls in

May 2008

By all accounts, the transition away from a paper-based check clearing system has gained momentum in the last year as more and more financial institutions take advantage of the opportunities afforded by Check 21.
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Are you well positioned for the future?

May 2008

It is quite clear from the two charts on page 8 that the pace and movement from paper check processing to Check 21 check processing is continuing to gain momentum. This rapid adoption of Check 21 has prompted the Federal Reserve Banks to migrate their Payor Bank Services to Check 21-enabled presentment services over the next two years.
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Insert – Check Restructuring Schedule Changes as Electronic Check Processing Continues to Accelerate

May 2008

On March 31, 2008, the Federal Reserve Banks announced modifications to the schedule for check processing infrastructure changes as consumers and businesses continue to shift from using paper checks toward electronic payments and as financial institutions rapidly adopt electronic check processing.
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Milestones continue to be reached three years after passage of Check 21 Act

November 2007

Federal Reserve Banks processed more than 50 percent of forward items electronically in September 2007. Throughout the three years since the Check 21 Act went into effect, the Federal Reserve Banks have been in the forefront of electronification efforts, enabling check image exchange for financial institutions large and small. All the while, the Federal Reserve has also been advancing standards for the financial services industry to ensure interoperability and enable a wide choice of Check 21-enabled products from vendors.
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Easily calculate your Check 21 financial benefits

November 2007

Ever wonder about the value associated with improving your funds availability on checks? What happens if interest rates change? How much can you save in monthly transportation costs by taking the paper out of check processing? Over the next five years, what will be the net present value of Check 21-enabled services for you? You can easily calculate any number of hypothetical situations to learn more about your unique business case for Check 21-enabled products with the improved Check 21 Business Value Calculator.
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Special Section: Capitalize on the rewards of Check 21

July 2007

As the payments system continues its remarkable transformation from paper to electronics and the use of Check 21-enabled image exchange rapidly gains momentum, now is the time for you to take full advantage of the opportunities presented by electronic check clearing. Since the Check Clearing for the 21^st Century Act was implemented in 2004, financial institutions across the country have continued to capitalize on Check 21 to improve funds availability, reduce transportation costs and strengthen their product offerings to business and retail customers. In 2007, our goal is to help even more institutions across the nation realize the benefits of these services.
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Check 21 Case Study – Commerce Bank: Growing quickly to better serve customers up and down the East Coast

July 2007

Commerce Bank entered 2006 with a mission: To grow efficiently and cost effectively while maintaining its high level of customer service. Commerce accomplished this by opening 55 new locations while it reaped the benefits of its newly implemented Check 21 solutions. “The expanded services we have been able to offer as a result of implementing Federal Reserve Check 21 solutions have enabled our operations areas to support the continued growth of 55-plus stores per year,” said Commerce Bank vice president, Marilyn Faust. As a result, Commerce looks forward to continuing its growth spurt in 2007 and beyond – and it looks forward to more happy customers.
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Moving to an all-electronic check environment: Payor Bank Services migrate to Check 21

July 2007

The implementation of the Check 21 Act in late 2004 has spurred the use of new technologies to collect checks, leading to industry-wide improvements in the nation’s check collection system.
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Insert – Planned Changes in the Federal Reserve System’s Check Processing Locations

July 2007

The Federal Reserve Banks today announced changes to their check operations as consumers and businesses continue the shift from using paper checks toward electronic payments. As part of a longer-range strategy, the Federal Reserve Banks have selected Philadelphia, Cleveland, Atlanta and Dallas as regional check processing sites that are expected to provide the full range of check processing services through at least mid-2011. Other remaining sites will have their operations scaled back. These scaled-back sites will all print substitute checks, but some will also capture paper checks. The regional sites will provide a full range of check processing services and receive processing volumes from the other sites in a phased transition.
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Check 21 Case Study – Moving checks at top speed: How electronic image exchange benefits two community banks in the Northern Great Plains of Montana

March 2007

All community banks in the Northern Great Plains face geographic and weather-related challenges. Despite some remote locations, they must race against competitors for timely funds availability. In this challenging environment, the region’s most agile community banks strive to react quickly to changes in technology. They are smart to seek out a competitive edge.
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Check 21-enabled products position customers for the future

March 2007

The financial services industry continues to take advantage of the transformation of paper check processing to achieve significant efficiencies and cost savings. Since the Check 21 Act took effect in October 2004, paper checks are being transitioned to electronic images at an unprecedented pace. Currently, 27 percent of checks deposited with the Federal Reserve are in an Image Cash Letter (ICL), and 15 percent of items are presented by the Federal Reserve in an ICL.
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Beyond speed: Electronic Check Adjustment Service offers powerful tracking that’s easy to use

March 2007

Ann Beasley, an operations specialist at Ohio Savings Bank in Cleveland, Ohio, has been in banking for 25 plus years. She recalls the time when everything was done by hand and the processes were time consuming. “I used to get the actual advices then send paper copies to accounting and the other to the adjustment clerks,” she said. Now she can complete the adjustment forms online and they can be saved and shared with staff with the click of her mouse. She added, “I love electronic check adjustments and I think it’s the best thing the Fed could have come up with. It’s just great.”
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A tale of two bankers: Reaping the rewards of Check 21

January 2007

In McAlester, Oklahoma (population approximately 18,000), not one but two community banks are utilizing electronic processing with the Federal Reserve Banks’ Check 21-enabled products.
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