MADISON, Wis. (8/24/10)--Remote Deposit Capture (RDC) promises to extend greater convenience to members while potentially reducing operating costs and investment in building infrastructures, according to a new white paper from the CUNA Technology Council. RDC is defined as using an optical scanning device--such as a home office scanner or a cell phone camera--to scan or "capture" images of the fronts and backs of checks for deposit; uploading the images on a computer, and using software to edit and send the images securely over the Internet to the credit union for processing and deposit. The paper, "Remote Deposit Capture: Thinking Out of the Branch to Better Serve Members," also notes that RDC is valuable for credit unions having members who:
* Reside some distance from a branch; * Frequently travel or are stationed in other countries; * Have college-age children at a location without a branch; and * Wish or need to make deposits during non-business hours.
RDC also may be useful to credit unions with a small number of branches and a large field of membership, as is the case with some select employee group-based credit unions, the paper said. The white paper covers these points related to RDC and RDC application development:
* A business rationale for offering RDC; * Eligibility criteria and deposit limits; * Hardware and software considerations, including functionality and platform expansion; * Image correction concerns; * Vendor partnership; * Fraud detection and risk-management controls, including duplicate detection; and * The importance of member education and trained back-up support.
The paper also profiles four credit unions and provides in depth case studies that show how RDC functions and its primary challenges and advantages. CUNA Council members can obtain complimentary copies of more than 200 white papers, including the RDC paper, while non-members can purchase the papers for $50 each. Use the link for more information.