Just what exactly is cheque imaging?
The payments landscape is constantly evolving, but that doesn’t mean cheques are being left behind. In fact, payment by cheque remains one of the most trusted payment options for many businesses, and cheques are still often the preferred method for specific payments, for example tradespeople or certain bills. Far from becoming obsolete, technological advances like cheque imaging have modernised the payment method and worked to speed up the cheque clearing process overall.
So, what is cheque imaging?
Cheque imaging is a fairly new process that means the digital images found on cheques can be quickly recognised by the Image Clearing System. This means that these images can be quickly shared between the bank of the payee and recipient, cutting down any time delays that could potentially occur with physical transportation of the cheque. All in all, cheque imaging significantly speeds up the overall process of clearing cheques, saving time for all involved.
Last year alone, over 400 million cheques were written, meaning that 400 million cheques also had to be manually handled between banks. Using modern technology, cheque imaging reduces the man power involved in the clearing process, so customers can still write out paper cheques but the recipient may choose from various methods to pay it into their account.
The traditional way of cashing a cheque will still be acceptable; however, an image of the cheque will be created and can then be electronically shared between banks. Customers will also have the option to pay in an electronic version of the cheque, using a banking app, so they don’t have to visit the bank in person.
What does this mean for you?
The introduction of cheque imaging means that cheques will clear much faster. Funds from a cheque that is deposited on a weekday can be withdrawn by midnight the day after, as well as recipients being able to definitively verify whether the funds are available and that the cheque won’t bounce.
The introduction of cheque imaging also means that the future of cheques is more secure, and those who favour cheques can continue to use them for as long as they want. It also helps to protect people against cheque fraud, which is still a growing concern. Security techniques will be used to prevent fraud, so banking customers will continue to be protected from the risk as they currently are.
At Hague, all of our cheque printing meets strict C&CCC requirements, which means when you choose us you get the most secure cheque solutions available. Get in touch to find out more about the cheque printing services we provide, and we’ll arrange a free consultation.