MRA offers remote deposit system

MRA is teaming up with the Michigan Bankers Association to offer banks and businesses a new system to reduce the time and cost of depositing and processing checks.

The “Remote Deposit” system uses the latest imaging technology to streamline current processes, according to MRA’s James P. Hallan, president and chief operating officer.

“Our remote deposit system is the wave of the future, and MRA is helping push that wave,” said Hallan.

“Streamlining will produce significant cost savings, for both financial institutions and their commercial customers,” said Dennis Koons, president and CEO of the Michigan Bankers Association (MBA). “The system allows businesses to make deposits without ever visiting a bank. They will also benefit from increased accuracy, security and reduced risk of check fraud.”

The two leading business organizations will work together to make the Internet-based service available to businesses throughout the state, including the MBA’s more than 2,300 member bank branches, the branches’ tens of thousands of business customers and MRA’s more than 13,000 member stores.

Under the new system, Hallan explained, a business would use a rapid image scanner to convert checks from paper to electronic images. The business would then send the deposit to its bank, via the Internet using secure and encrypted software, where it would be received and deposited into the appropriate account. The system also links the bank to major check-learing channels, allowing faster access to the funds by financial institutions and depositors.

“In addition, our system provides online review of deposits, account activity and other valuable reports,” said Hallan.

There is a large market for the new service, Hallan pointed out. While check-writing by consumers has declined in recent years, some 75 percent of business-to-business transactions are still made by paper checks, according to 2004 data. For small businesses under $1 million in sales, there has been virtually no decline in check writing.

MRA, already a leader in processing credit and debit card payments, entered into an agreement with iStream Imaging of Wisconsin to deploy the remote check deposit system in Michigan. MRA and MBA entered into an agreement to make the system more readily available to Michigan financial institutions and businesses.

Businesses will pay a low monthly fee and small per-check fee to employ the new system.

“Our new system is a win-win for businesses and their banks by helping everyone become more streamlined and efficient. We look forward to an immediate and successful rollout,” said Hallan.

For additional information or to sign up for the service, contact MRA’s John Mayleben, vice president of sales and marketing, at 800.366.3699 or jmayleben@retailers.com.