Systems and methods for check 21 image replacement document enhancements

Abstract

The present invention provides enhanced processing of Check 21 items using an electronic payment system (EPS) to capture metadata instructions. The metadata includes instructions regarding an intended payment to a payee, and can be generated through a truncation process and optical character recognition, directly from a digitally originated check, and the like. The metadata is stored in a database or the like for further processing instead of printing a paper check. In various exemplary embodiments, the present invention provides a capability to print Image Replacement Documents (IRDs) compliant to Check 21 regulations from the metadata. Further, these IRDs can include enhanced features as described herein.

Description

CROSS-REFERENCE TO RELATED APPLICATION(S)[0001]The present non-provisional patent application claims priority to U.S. Provisional Patent Application Ser. No. 60 / 850,536, filed Oct. 10, 2006, and entitled “FINANCIAL PAYMENT SYSTEMS AND METHODS,” the contents of which are incorporated in full by reference herein.FIELD OF THE INVENTION[0002]The present invention relates generally to Check 21 imaging systems and methods, and more particularly, provides systems and methods for enhanced processing of Check 21 Image Replacement Documents (IRDs), such as storing check data in a digital payment file instead of an image file which allows enhanced processing and printing of IRDs.BACKGROUND OF THE INVENTION[0003]The Check Clearing for the 21st Century Act (Check 21) was designed to foster innovation in the payments system and to enhance efficiency by reducing some of the legal impediments to check truncation (i.e., eliminating a paper check by converting into a digital image and destroying the ...

AI Technical Summary

Benefits of technology

[0009]In various exemplary embodiments, the present invention provides enhanced processing of Check 21 items using an electronic payment system (EPS) to capture metadata instructions. The metadata includes instructions regarding an intended payment to a payee, and can be generated through a truncation process and optical character recognition, directly from a digitally originated check, and the like. The metadata is stored in a database or the like for further processing instead of printing a paper check. In various exemplary embodiments, the present invention provides a capability to print Image Replacement Documents (IRDs) compliant to Check 21 regulations from the metadata. Further, these IRDs can include enhanced features as described herein.

Problems solved by technology

Disadvantageously, these conventional mechanisms require large data storage of image files and are prone to imaging problems.

Second, the scanned images are prone to errors, such as Optical Character Recognition (OCR) problems.

For example, these recognition algorithms are not perfect and they can mistake a handwritten “7” for a “1” for example.

Additionally, scanned images saved in lower resolution TIFF files provide an output image with lower quality and clarity.

Third, scanning paper checks or IRDs is slow and cumbersome; requiring additional human operators to handle paper IRDs.

Images