JPMorgan Chase, introduced Wednesday a new image check processing system that enables financial institutions and corporations to image paper items and transmit them electronically for clearing.
JPMorgan Chase’s Image Cash Letter Solution reduces the time, costs and risks associated with transporting paper checks, speeding the availability of funds by sending electronic images for check processing. It also helps minimize check fraud by accelerating return item notifications, meeting a crucial need for businesses and financial institutions, the bank said in a news release.
“Check volumes are declining and the costs associated with processing paper checks are increasing, so we are able to provide financial institutions the new lower cost, lower risk and higher efficiency check processing infrastructure made possible by Check 21,” said Craig T. Vaream, vice president and senior product manager of domestic check deposits, JPMorgan Chase. “Image Cash Letter helps financial institutions make the deposit process more streamlined and check clearing more cost effective.”
Corporations are also seeing increases in the cost of processing paper checks, particularly if they have an internal lockbox or rely on a third party processor, or if they consolidate deposits electronically from multiple locations, the news release said. Image Cash Letter helps our corporate clients reduce administrative expenses and trips to the bank, courier costs in transporting checks and fees associated with maintaining accounts at multiple banks.