Fed launches image-based check servicing

<p>BOSTON – The Federal Reserve Bank this month launched what it calls a “total image management solution” that allows processed checks to be available as electronic images within hours. FedImage Services was launched at the BAI’s TransPay Conference held May 7-10 in Anaheim, Calif. “From capture to archive to retrieval of check images, FedImage Services provides the most comprehensive access, flexibility and speed by leveraging its national archive and establishing a centrally managed platform to make images available within hours of capture,” according to a statement from the Fed’s Financial Services Policy Committee in Boston. The Fed is the largest single, nationwide processor of checks, handling more than 17 billion a year. Its current average daily image capture volume exceeds 10.9 million items. Together, the system’s 12 banks process more than one-third of all checks written in the United States, more than $14 trillion worth annually. Developed in a collaborative effort with the industry, FedImage Services was designed to help financial institutions manage cash flow better, improve accounting methods, detect fraud better and offer value-added services, the Fed said. The new service “is supported by a national infrastructure of image storage, telecommunications, Web access tools and media delivery services,” said Steve Whitney, senior vice president at the Federal Reserve Bank of Boston.</p>