Advances in technology have completely changed the way banking institutions used to offer their services to customers. Individuals can now check their balances online or on their phones rather than having to wait for a monthly report. 

However, when an individual wants to deposit a check from another account into her account, the bank must transfer the physical check to the Federal Reserve before the money will appear. But the advancement in technology allows the consumer to deposit the check into their bank account from a remote location. 

This technology has been incorporated into the online banking website and mobile applications via remote deposit credit union capture.

Image Source: Google

The congressional action also makes it easier for small businesses to the examination process. These businesses use scanner checks to deposit checks into their business account. 

One of the great benefits of depositing checks in this manner is that the funds are available more quickly. When a paper check is stored, businesses can expect to wait five business days before accessing the funds. However, digital deposited funds are accessible within one or two business days. 

The remote deposit capture system gains popularity because of its increased usage. The government also identified the vulnerabilities and provide advice to help financial institutions regarding risk management. 

Here are some major risks, including the source of fraud, related to remote deposit capture:

– Re-deposit check or deposit the same check more than once

– Forged endorsement or other alteration of checks submitted

– Deposit false financial documents

– Poor quality images

– Safety and security of personal information relating to customers