COLUMBUS, Ohio — Corporate One Credit Union, in conjunction with ATM manufacturers NCR and Diebold, has announced the development of another piece in the complex technical highway that will make the promise of check imaging a reality.
The development integrates Corporate One's Automated Capture and Exchange (ACE) technology to the check imaging ATMs, allowing credit unions that have already implemented ACE to image checks deposited with tellers to use the same system to handle checks deposited at ATMs.
“This full integration is good news for credit unions, no matter their existing ATM capabilities,” said Robert Coyan, a senior vice president with Corporate One.
“Many credit unions that already use image-enabled ATMs must maintain two separate processes for forward collection of deposits–one process for deposits made at ATMs and another for deposits made at branches. Our fully integrated solution now eliminates the need for a separate process,” he said, adding: “On the other hand, credit unions with traditional ATMs often collect deposits and transport them to a central back office for processing. Now, when credit unions upgrade to image-enabled ATMs, they'll reduce the frequency of their courier runs and can realize significant cost savings to offset the costs of the ATMs.”
In addition to the savings related to the elimination of duplicate collection streams and the reduction of transportation costs, credit unions using image-enabled ATMs can examine ATM deposits earlier in the day, reducing the window for fraud, Corporate One said.
The CU decided to develop the technology when it became clear that the cost of the technology that enabled deposits taken at ATMs to be imaged was effectively prohibiting more credit unions from taking the step into the technology, according to Paul Hixon, marketing and communications manager for Corporate One.
“The bottom line is that we are a membership organization and we sensed
that our members would benefit from being able to fully utilize check imaging at their ATMs,” Hixon said.
CME Federal Credit Union in Columbus has been piloting the enhancement by scanning and archiving images of their ATM deposits using ACE, Corporate One said.
“We're excited to begin live collection of deposits from our image-enabled ATMs,” said James Riederer, president/CEO of CME FCU in Columbus. “Corporate One and NCR worked with us to allow us to offer ATM deposit. If it weren't for them, full electronic deposit automation would probably have been too expensive for us to do,” he said.
The $166 million credit union has a fleet of 14 ATMs, three of which in branches are image-enabled machines, Riederer said. CME has benefited immediately from being able to drop the cumbersome daily procedure that collected checks from deposit-taking ATMs, Riederer explained, and has even dropped night depositories from two new branches it built since starting to use the new software.
“When we looked at offering our members the ability to make deposits at image-enabled ATMs, we had to look seriously at the cost,” said Jerry Valco, president/CEO of The Ohio Educational Credit Union in Cleveland, another CU that has been testing the system.
“But we were able to make it work by being able to tie in our Diebold image-enabled ATMs into our existing remote deposit automation solution with Corporate One–without having to invest in additional hardware and software,” Valco described.
“It's a win for us, thanks to the cost savings of not having to send out someone to collect deposits at the ATM every day, and will be a win for our members as they have more confidence in the accuracy of their ATM deposit, since they now have an image of the item they're depositing,” he added.
The next hurdle may be getting the costs of the imaging ATMs down. Riederer said his CU still paid $70,000 for the imaging ATMs that are designed for deployment in a drive-up situation. This is about double the price of the other, non-imaging, ATMs.
“We expect the prices for image enabled ATMs to drop, much as the prices for other technology to drop,” said Barb Marrero, vice-president for product support for Corporate One. “But we can't say how much they will or when. All we can do is be ready for when that happens,” she added
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