"This is a tremendous opportunity. We know there are many credit unions that want to offer their members the ability to scan deposit checks but they had thought the solutions out there are too complicated or too expensive," said Shai Stern, CEO of Los Angeles-based CheckAlt Payment Solutions.
CheckAlt recently joined NACUSO, a step Stern hopes will demonstrate the company's commitment to pursuing credit unions.
He added: "We already serve close to 100 credit unions. We have processed nearly 15 million paper check deposits in the five years we have been in business."
Reality is that the number of paper checks in circulation keeps dropping. "Do you get any?" asked Stern. "Most households do not see any in a month."
But while the numbers of checks in circulation have dropped, many millions of checks still need processing. Paper checks written by consumers to businesses continue to number in the many millions, with only around 13% of checks presently deposited as scanned images, per the 2010 Federal Reserve Payments Study. That same study counted some 24.4 billion checks written in the year.
Stern acknowledged that competitive scanning services have been available to financial institutions for some time but, he stressed, "there remains plenty of room for new service providers."
He added that CheckAlt Payment Solutions provides patented tools such as a Teller Capture technology that lets a teller easily scan checks directly at the teller window. He also claimed that the company's tools lower processing costs for credit unions while speeding up processing time.