Paper checks are being transitioned to electronic images of checks at a
pace that is unprecedented. Check images are currently collected in two forms, as substitute
checks and as check images.
Substitute checks assist in evolving traditional paper check clearing to
image-based clearing. As a precursor to full check image exchange, the number of substitute
checks is a positive indication of the acceptance of image exchange.
Just 29 months after the effective date of Check 21, 7 billion check payments
totaling $9.4 trillion per year have already moved from the traditional paper-based clearing process
to improved image-based processes. Based on the 2004 Federal Reserve Payments Study, that amount is
more than four times greater than the sum of all debit card payments ($.6 trillion) and all credit
card payments ($1.7 trillion).
On an average day during March 2007, almost 6,800 institutions received 17.9
million check images for posting. These total 4.5 billion checks per year.
This Checkimage collaborative industry image clearing data reflects transactions
settled through the Federal Reserve, NCHA and SVPCO. When the same payments were cleared through two
or more of these organizations, those payments were counted only once.
Data Sources for all Statistics:
Transaction settled through the Federal Reserve, NCHA and SVPCO with no duplicate counting.
