Banks Are Realizing Millions in New Deposits, New Revenues and Cost Saves by Offering Remote Deposit Capture - Banks are Now Able to Quantify Results


Many articles and press releases have come out in the past few months with a great story to tell: Remote Deposit Capture is providing positive tangible results. In fact, this quarter alone, over 20 banks have mentioned the positive impact of Remote Deposit Capture in their quarterly earnings statements.

Thus far, bank success seems to favor the "first mover advantage". While the success seems largely independent of the underlying technology solution provider, operational models, functionality and experience can impact time-to-market. Most banks looking to bring an RDC product to market quickly have opted for hosted (ASP) solutions. Another factor influencing time-to-market is the ability to provide a browser-based solution to corporate end-users. Finally, ongoing service and maintenance is critical.

One example of a large bank which recognized the importance of speed-to-market and ongoing service and support is Wells Fargo. The best metric by which to gauge their success can be found in the Wells Fargo earnings release made in April 2007:
[list][li]"Our customers continue to transition from paper to electronic financial services; their electronic collections surpassed paper collections for the first time in February. Active users of our Commercial Electronic Office(R) portal were up nearly 30 percent from the same period last year. Checks processed electronically through our internet-based industry-leading remote Desktop Deposit service during the quarter totaled $38 billion."[/li]
[li]In addition, Wells' Corporate Remote Deposit Capture Service, Desktop Deposit(R) was named Computerworld magazine's "Best inClass for 2007".[/li][/list]

Wells Fargo is not alone in their success. Other recent tangible results from much smaller banks include:

NexBank Adds $20 Million in New Deposits with Goldleaf's Remote Deposit Solution
NexBank has acquired more than 45 new clients, resulting in $20 million in remote deposit relationships since going live with Goldleaf's remote deposit solution in September 2006. With customers located throughout the greater metropolitan area of Dallas-Fort Worth, and three existing financial centers, NexBank continues to seek ways to provide top-tier customer service. One beneficial solution to the bank and its customers was a remote capture system. When researching different options, the company's criteria for the system included ease of use, cost of implementation and execution of the solution, track record of the companies being considered, and the ability to continue providing highly personalized service to customers.

By adding Goldleaf's remote deposit technology, NexBank was able to shorten the time and lessen the travel needed by its customers to make deposits. With remote deposit, NexBank business customers simply scan, submit and deposit their checks electronically - right from their offices or places of business - while still receiving the same superior level of service.

"Goldleaf's remote deposit technology makes banking easier for NexBank's customers by dramatically increasing the efficiency of the deposit process," said Brett Buchanan, vice president of private banking and lending of NexBank. "NexBank was founded on the philosophy of providing personal service to our customers, and we remain committed to offering the highest level of customer service possible. Remote deposit is the perfect way for us to enhance and improve our customer's banking experience."

Independence Bank Increases deposits by $6.5 million, realizes monthly item processing growth over 500% with VSoft’s Merchant Capture Solution
Independence Bank of Rhode Island, a $50 million asset community bank currently serving customers across five states, achieved record growth by implementing VSoft’s Merchant Capture solution, which was private labeled and rebranded by Independence Bank as Cool DepositTM.

“VSoft’s solution has completely changed the face of our one, little branch. We have greatly expanded our geographic reach to include five states, which has increased our core deposits by over $6.5 million,” said John Charette, vice president of finance and business technology, Independence Bank. “Because of these results and because of how simple it is for our customers to open remote accounts with us, we have no need to build any other branches.”

The success of the Cool DepositTM brand has led Independence Bank to launch several versions of their product, tailored to the specific needs of the individual customer. In addition to Cool DepositTM, Independence Bank has launched a line of products designed for other banks, branded Cool CaptureTM. Cool CaptureTM will enable banks to offer their customers a remote capture product without a significant investment up front.

Since implementing the Merchant Capture solution, Independence Bank achieved a 500 percent increase in monthly item processing. By utilizing check-imaging technology, businesses are able to deposit their financial transactions at the point of presentment rather than manually depositing their transactions each day. Not only does this solution decrease time and expenses required for manual deposit and item delivery, but it also reduces the time required for items to clear, allowing financial institutions to offer next-day funds availability.

Buckhead Community Bank is saving $300,000 per year, and counting.
Buckhead Community Bank, estimates savings of $250 a month in teller labor, transportation and mailing costs per each of its 100 clients who use the remote desktop capture service. (Source: The Atlanta Journal-Constitution).

How much value has been created for your bank or corporation by using Remote Deposit Capture?