Virtual Tour

Check It Out

Learn how one check is processed the traditional way. Then see how check conversion makes the process much faster. Finally, see a short video explaining Check 21, a new, more efficient way to process checks.

The Basics of Check 21:

• Establishes a new process minimizing how often a check is handled (previously most checks were handled 10 or more times).
• Allows your bank to accept a copy of your check rather than the original from the first bank that cashed or deposited your check. (Copies are called substitute checks or image replacement documents.)
• Accelerates collection of checks coast-to-coast by relying on electronic check collection rather than physical transportation and handling of original paper checks.
• Encourages banks to improve funds availability on deposited checks.
• Promotes the adoption of more efficient forms of payment, such as payment cards and automated clearinghouse and Internet payments.

For more information on Check 21, you can read the Federal Reserve Board’s Consumer Guide to Check 21 and Substitute Checks .