Check scanner

Types of check scanners

Check scanners are devices that convert checks into digital images. Banks, credit unions, and businesses can use check scanners to process checks faster and more efficiently. Based on what the check scanner does, there are two major kinds of check scanners:

• Remote deposit check scanners: The remote deposit check scanner allows businesses, like a company that gets a lot of checks, to scan checks and deposit them without having to go to the bank. Remote deposit check scanners are used for remote deposit capture (RDC). RDC is a way for businesses to deposit checks into their bank account from their office or another location without going to the bank. With an RDC service, a business can use a check scanner to create a digital image of a check and send the image to the bank for deposit.
• Branch capture check scanners: Branch capture check scanners are used in banks. They are usually bigger than the remote deposit check scanner. The check is scanned, and the images are sent to the bank where further processing takes place. This machine can get the routing number and account number off the check to know where to send the check. This is important because the check will look like it is being deposited into the wrong account if the scanner does not get this info off the check. The branch capture check scanner is also able to encode the check so that it can be deposited. This is important because the check needs to be sent to the bank to be deposited.

Functions and features of check scanners

Using check scanners can be a game-changer for businesses. It automates the process of depositing checks and reduces errors. Here are some of the benefits and features of different types of check scanners:

• Single Feed Scanners

A single feed scanner can scan one check at a time. It is the slowest type of check scanner. However, it is useful for small businesses or organizations that do not process many checks. Some single-feed scanners have built-in printers that can print information on the back of the check. This may include the date of deposit, the account number, or the amount. Single feed scanners are affordable and easy to use.

• Multi-Feed Scanners

Multi-feed scanners can scan many checks at once. They are faster than single-feed scanners. Multi-feed scanners are ideal for businesses that process a large number of checks. However, the checks deposited must be arranged neatly. If the checks are not organized, the scanner may jam or have trouble reading the information. Despite this, multi-feed scanners are more efficient than single-feed scanners. They are also an affordable option for small businesses.

• Compact Scanners

Compact scanners are small and lightweight. They are easy to transport and take up little space. Some compact scanners can process a large number of checks. These scanners are useful for businesses that need to deposit checks at different locations. For example, a business with multiple branches can use compact scanners to deposit checks at different offices. Most compact scanners are single-feed scanners. However, there are some multi-feed compact scanners available.

• Remote Deposit Scanners

Remote deposit scanners, also known as image scanners, allow businesses to deposit checks online. They are connected to a computer or mobile device. Remote deposit scanners are easy to use. They provide fast and accurate check deposits. These scanners are ideal for businesses that receive checks from customers. Remote deposit scanners help businesses save time and money. They also reduce the risk of fraud.

Usage scenarios of a check scanner

• Remote Deposit Capture (RDC):

A check scanner is an essential tool for businesses when it comes to depositing checks without having to visit a bank physically. This process is referred to as remote deposit capture. Large corporations, small businesses, and even financial institutions can make use of this tool to scan checks and have the funds deposited directly into their accounts. Depending on the type of check scanner, the checks can be scanned in bulk or single.

• Accounts Payable and Receivable:

Check scanners can also be used to streamline accounting processes within a business. In accounts receivable, checks received from customers can be quickly scanned to facilitate faster processing and updating of financial records. On the other hand, in accounts payable, outgoing checks meant for payment can be scanned to provide a digital record before the actual checks are sent out. This can also help in avoiding duplicate payments.

• Check Cashiering:

Companies that deal with large volumes of checks can utilize check scanners for easy and quick depositing of funds. This is also known as check cashiering. It is a common practice in businesses like retail stores, utility companies, and other service-oriented businesses that receive checks as a method of payment.

• Scanning and Archiving:

Check scanners can be used to digitize checks and store them electronically. This can help in reducing the need for physical storage space. Additionally, the electronic copies can be easily organized, searched, and retrieved when needed. This can help in compliance with record-keeping requirements.

• Check Verification:

There are check scanners with built-in verification features that can help in reducing the risk of fraudulent checks. These scanners can verify the authenticity of the check, including the signature and security features. This is quite useful for businesses that deal with a high volume of checks.

How to Choose a Check Scanner

When choosing a check scanner, it's important to take into consideration the volume of checks that need to be processed. Scanners come in different capacities, and it's important to select one that is suitable for the business. For instance, high volume businesses will require a scanner that can process a large number of checks within a short period of time.

Additionally, it is important to consider the kind of checks that are to be scanned. This is because some scanners are more efficient when it comes to processing certain types of checks. For instance, business owners should choose a scanner that can process both personal and business checks. Furthermore, it is important to ensure that the scanner is able to scan checks of different sizes.

Another important factor to consider is the level of functionality required. Some check scanners come with additional features such as the ability to photocopy documents, scan photos, and fax documents. These additional features can be very useful for some businesses. However, they may not be necessary for others. As a result, it is important to carefully consider the specific needs of the business and choose a scanner that is able to meet those needs.

It is also important to consider the budget. Check scanners come in different price ranges. As a result, it is important to select one that is within the budget. However, it is important to avoid compromising on quality in order to save money. Business owners should focus on selecting a scanner that offers good value for money. This means that the scanner should be able to meet the needs of the business and offer good performance over time.

Business owners should also consider the brand of the check scanner. This is because some brands are known for producing high quality and reliable check scanners. It is important to carefully research the different brands before making a decision. Additionally, business owners should take into consideration the customer service and support offered by the brand. This is because check scanners are electronic devices that may develop problems over time. As a result, it is important to choose a brand that offers good after sales support.

Q&A

Q: How does a check scanner work?

A: A check scanner works by digitally capturing all the information on a check. This may include the account number, the routing number, the check number, the amount, and the payer's name. Once the check is scanned, the funds are electronically debited from the account. Check scanners have the ability to capture images of both the front and back of the check in a single pass. This makes the process of depositing checks faster and more convenient. In addition, check scanners are able to read the magnetic ink characters on the bottom of the check, which makes it easier to process the check electronically. By eliminating the need to physically transport the check to the bank, check scanners provide a more efficient and secure way to deposit funds.

Q: How long does a check scanner last?

A: Check scanners can last anywhere between 5 to 10 years. This is if they are properly maintained.

Q: Are check scanners worth it?

A: Yes, they are. They save time and money by automating the check deposit process. This reduces the need for manual data entry.

Q: Can mobile check scanners be used for business purposes?

A: Yes, they can be used for business purposes. However, they are only ideal for small businesses that have low check volumes. High volume businesses would be better off using desktop scanners. This is because they are faster and more efficient than mobile scanners.

Q: Can check scanners be used with any bank?

A: No, they can't. This is because different banks have different requirements for check scanners. Therefore, it is important to ensure the scanner is compatible with the bank's system before purchasing it. Some banks may also have a list of approved check scanners that can be used with their system. Be sure to check with the bank to see if the scanner is on the list.