TellerMetrix® Remote Capture Software Now Electronically Depositing 5 Million 'Checks' Annually

ROCKAWAY, N.J., Sept. 28 /PRNewswire/ -- TellerMetrix, Inc., a New Jersey-based provider of transaction management software for retail check-checking stores, announced that its e-Deposit™ product is handling the digital imaging and transmission of 5 million "substitute checks" annually.  

Banks have been allowed to accept such substitute electronic-image checks since the Check Clearing for the 21st Century Act ("Check 21") took effect in October of 2004. Major banks, and larger retailers, were the first to take advantage of the paperless processing permitted by the legislation.

Check-cashers have been slower to leverage Check 21 electronic deposit – for good reason.  Many electronic deposit systems are not integrated with check-cashing systems, so checks – even though already scanned when cashed -- had to be re-scanned for electronic deposit.  Still others utilize middleman processors.  "The idea that e-Deposit™ would eliminate most hand deposits was only half of the solution – the second half was to make it seamless between our POS check-cashing system and the bank," said Tellermetrix President Richard Kelsky.

"We created Tellermetrix® e-Deposit™ because check cashers did not want to re-scan every check, and prove out deposits twice in order to make an electronic deposit," Kelsky added.  "They wanted to go straight from our POS check-cashing system to their bank's processing system – that's what Tellermetrix® e-Deposit™ does."

Tellermetrix has quickly emerged as what Kelsky calls a "prime mover" in facilitating the adoption of Check 21 electronic deposits by check cashers, particularly in the northeast and New York, which is far and a way the largest metro market for check-cashing services in the country.

Of the 30-million-plus checks cashed yearly at New York check cashing stores, roughly half are processed using Tellermetrix e-Scope® POS and Compliance products. And now, a third of those 15 million checks are finding their way directly to banks via e-Deposit™. Kelsky projects that the software will be handling the electronic deposit of 10 million checks annually by the end of 2011.

"The demand for an integrated product like this has always been there," says Kelsky. "Check cashing is a high-volume, low-margin business. When you can create a sea change in making deposits – from traveling to a bank and waiting on long lines to touching a few buttons – and at the same time eliminate rescanning, reduce risk, and improve business operations, that's a homerun for this industry." 

About Tellermetrix: In addition to processing over 16 million checks annually, TellerMetrix software manages another 15 million follow-on transactions such as money orders, bill payments, prepaid card transactions, and wire transfers. In 2009, its software handled over $12 billion in combined transaction volume. Its software and turnkey systems include advanced POS, compliance, multi-store, bill payment and e-Deposit modules.

SOURCE TellerMetrix, Inc.