“With the momentum of the past 10 years behind it,
RDC is still poised to make significant inroads going forward, and will eventually become ‘the operating system for payments.’”
- Remote Deposit 2014, Special Report by RemoteDepositCapture.com
Customers today are demanding the multiple touch points, convenience, and flexibility of making deposits on their own terms. You already know that Remote Deposit Capture (RDC) attracts and retains valuable customers, whether they are corporations, small to mid-sized businesses (SMBs), or consumers. And that it drives customer/member satisfaction and convenience, saving time and reducing the liability – and expense – of going to a branch several times a week. But is your RDC strategy keeping up with changes in the market?
To get the full benefit of RDC, it is important to look closely at each consumer segment and ask questions to ensure their needs are being met. For instance, what size and speed of scanner does each of your commercial customers need for their average check volume? Can your small business customers use their mobile devices to deposit checks, rather than a scanner? What type of daily deposit limits should you have in place for each segment? How are you going to address fraud mitigation? How are you planning to meet your revenue generation goals?
RDC Solutions: Not All Created Equal
Not all RDC solutions are the same, nor should they be. RDC solutions that are core-neutral offer you the most flexibility. Savvy banks and credit unions also know it’s best to offer solutions that deliver a range of functionality. For example, some FIs are leveraging RDC as a receivables platform capable of accepting multiple payment types (such as checks, credit and debit cards, ACH, and even cash payments) and strategically capturing and processing related payments data.
The Facts about Mobile and RDC
Through 2013, barely 10% of U.S. financial institutions offered mobile remote deposit capture (mRDC) to consumers; however, projections are that half of U.S. FIs will be offering mRDC by 2016(1), with adoption driven both by consumer demand and FIs’ desire to retain customers. With the increasing appeal of mobile banking, a customer or member’s willingness to switch FIs in order to receive this service increasingly makes mRDC a competitive necessity. Mobile RDC is also expected to continue to grow with businesses, as various channels (mobile, desktop, etc.) become consolidated with enhanced data-capture and input capabilities.
Invest in Marketing
The time to get serious about RDC marketing strategies is now. RDC has emerged as an object lesson in why old payment methods never die; they just get keep getting better. With virtually every financial institution having adopted some form of RDC, the business of RDC has demonstrated a maturity that includes enhanced market specialization and systems integration. Effective, targeted marketing is critical to driving customer and prospect understanding of the benefits of RDC and to help FIs combat increased operating costs associated with regulatory changes.
Sounds Great, But What’s the Risk?
Duplicate presentments have garnered the most press as an RDC risk, yet the majority of financial institutions have incurred no losses attributable to their RDC offerings. While Celent indicates a slight uptick in RDC losses in 2013 in proportion to the growth of consumer adoption(2), RDC is still considered one of the safest payments channels, particularly when compared to credit card fraud chargebacks and ACH account takeovers.
We invite you to take a look around this Knowledge Center, which is designed to provide you with information to help you understand the value of these solutions and meet your institution’s RDC goals.
ProfitStars offers a powerful suite of remote capture products designed to serve every facet of the business community, from consumers to microbusinesses to large corporations. Our complementary solutions include; Alogent® Deposit Automation Solutions, Enterprise Payments Solutions, and RemitPlus®
1) Celent, “State of Remote Deposit Capture, All About Mobile, January 2014