LOUISVILLE, Ky., March 8, 2011 /PRNewswire/ -- Liberty Processing Services Innovation (LPSI) today announced the launch of services to more efficiently print and distribute substitute checks for financial institutions. LPSI has joined forces with United Parcel Service (UPS) and three large banks to bring aggregator services, convenient settlement procedures, advanced logistics, superior national reach, and timely, assured delivery to financial institutions nationwide. Two of the banks are among the five largest U.S. financial institutions by asset size, and the third ranks in the top twenty five. LPSI offers same day, and deferred services to endpoints in all states for both forward presentment, as well as returned items.
LPSI is founded by veteran bankers with a combined experience of over 100 years in banking services and technology. Earl Jennings, chief executive officer, and formerly SVP Operations at J.P.Morgan Chase said, "We have brought together unique competencies in payments technology, banking services, and logistics to the particularly difficult last mile in payments. The LPSI management team brings banking and payments expertise, which is superbly complemented by world-class systems and processes from UPS and our bank customers."
LPSI's Streamline™ methodology eliminates unnecessary steps, and optimizes printing and distribution of substitute checks to match the destinations and "wheels up" times of UPS aircraft. Check images are received electronically received throughout the day from financial institutions, both direct to LPSI and through the banks' aggregator capability. The images are grouped and scheduled for high speed printing, based on UPS departure schedules. The bags containing cash lettered bundles of substitute checks are tagged and tracked by LPSI and UPS systems to ensure delivery. The bundles are picked up by UPS at LPSI's Louisville facility, and driven straight to waiting aircraft at the nearby UPS national distribution hub.
LPSI is able to offer more attractive pricing than most other alternatives by leveraging process efficiencies, superior systems and a transport hub that is not subject to scheduling challenges, and the 3AM to 6AM "no-fly zone" of commercial aircraft.
While Check 21 facilitated the creation of national infrastructure to capture, process and exchange check images, there still exist millions of items that need to be converted into substitute checks. This is to accommodate financial institutions that are not yet able to receive check images, and continue to operate paper-based systems.
"While most in the industry are focused on image presentment, LPSI appears to have zeroed in on a post-Check 21 left over - residual paper," said Bob Meara, senior analyst in Celent's Banking Group. "Its approach of using concepts like minimizing cycle time, and just-in-time logistics, applies state-of-the-art manufacturing and transportation methods to financial services."
"The driving principle behind LPSI is simple," said Earl Jennings. "We focus on the best way to get paper where it needs to go and when it needs to be there, so that financial institutions can concentrate on providing differentiated, high-value services to their customers."
Liberty Processing Services Innovation provides next-generation printing and distribution services to financial institutions nationwide. LPSI combines banking and payment systems knowledge with logistics expertise and infrastructure to provide superior efficiency, reach and security to its financial institution customers. LPSI has joined forces with UPS to streamline the payments last mile, from image receipt to printing and delivery of forward presentment and returned item substitute checks. LPSI provides same day and deferred delivery, with net settlement services to financial institutions throughout the United States. http://lpsillc.com/
SOURCE Liberty Processing Services & Innovation, LLC