The Federal Reserve is now sending images to financial institutions via SVPCO-Image Payments Network, one of three major check clearing networks, The Fed announced last week.
The Fed sent its first images to National City Bank through Image Payments Network and has received check images from 10 banks. In addition to the Fed, EDS, a third-party service provider, and 12 of the largest banks, including Bank of America, Fifth Third, HSBC, KeyCorp., M&T Bank, National City Bank, JP Morgan Chase and Wachovia, are using the Image Payments Network.
All financial institutions that exchange images directly with each other via the Image Payments Network use the automatic settlement function, which provides real-time net and bilateral settlements.
Ed Roberts can be reached at eroberts
