Technology

Why RDC: Aren’t Checks Dead?

A new white paper examines the increasing adoption of remote deposit capture.

November 04, 2010
KEYWORDS checks , deposits , processing , RDC
/ PRINT / ShareShare / Text Size +

Remote deposit capture (RDC) will be an in-demand service for the foreseeable future, according to a white paper from the CUNA Technology Council. RDC allows check holders to scan and use the front and back images of checks as “substitute checks” for electronic clearing—eliminating the need for banks to present paper checks to each other.

As long as people write checks to include with birthday cards or as an alternative to credit cards for large purchases, RDC will be a convenient way for check recipients to make deposits quickly and have speedy access to the funds, according to "Remote Deposit Capture: Thinking Outside the Branch to Better Serve Members."

Subscribe to Credit Union MagazineWhile check use has declined significantly with the increased use of debit cards, direct deposit, and online bill pay, people still prefer to use checks for some purposes. Checks are safer than large amounts of cash in a wallet or stashed inside the house. And checks allow easy tracking of random payments when a card reader or electronic payment method isn’t available.

RDC, notes the white paper, is a valuable tool for credit union members who:

  • Reside far from a branch;
  • Frequently travel or are stationed in other countries;
  • Have college-age children who live far from a branch;
  • Wish or need to make deposits during nonbusiness hours; or
  • Operate businesses that must make frequent check deposits.

Convenience is a key factor in increasing RDC adoption, according to the white paper. RDC can be marketed to a broad target group, and promises convenience and freedom for members under time pressures. Rather than hanging on to checks until they can get to a branch or an ATM, they can make deposits right away and have access to the funds.

Evidence of RDC adoption using home-based scanners is starting to emerge. In the first month of the release of USAA’s Deposit@Home application, more than 125,000 were downloaded from the iTunes App Store, resulting in more than 10,000 new users, according to Celent.

Next: Implementation essentials

Post a comment to this story

heroes

What's Popular

Popular Stories

Recent Discussion

Great article! Unfortunately, most employees don’t feel valued or appreciated by their supervisors or employers. In fact, research has shown that the predominant reason team members quit their jobs is because they don’t feel valued. This is in spite of the fact that employee recognition programs have proliferated in the workplace – over 90% of all organizations in the U.S. has some form of employee recognition activities in place. But most employee recognition programs are viewed with skepticism and cynicism – because they aren’t viewed as being genuine in their communication of appreciation. Getting the “employee of the month” award, receiving a certificate of recognition, or a “Way to go, team!” email just don’t get the job done. How do you communicate authentic appreciation? We have found people have different ways that they want to be shown appreciation, and if you don’t communicate in the language of appreciation important to them, you essentially “miss the mark”. Additionally, employees need to receive recognition more than once a year at their performance review. Otherwise, they view the praise as “going through the motions”. A third component of authentic appreciation is that the communication has to be about them personally – not the department, not their group, but something they did. Finally, they have to believe that you mean what you say. How you treat them has to match the words you use. If you are not sure how your team members want to be shown appreciation, the Motivating By Appreciation Inventory (www.appreciationatwork.com/assess) will identify the language of appreciation and specific actions preferred by each employee. You then can create a group profile for your team, so everyone knows how to encourage one another. Remember, employees want to know that they are valued for what they contribute to the success of the organization. And communicating authentic appreciation in the ways they desire it can make the difference between keeping your quality team members or having a negative work environment that everyone wants to leave. Paul White, Ph.D., is the co-author of The 5 Languages of Appreciation in the Workplace with Dr. Gary Chapman.

Your Say: Who should be Credit Union Magazine's 2014 CU Hero of the Year?

View Results Poll Archive