I work in Compliance for our bank, and was just asked to review our Remote Deposit Capture Agreement because of a few situations where the Business we have contracted with have started allowing some of their employees who have personal accounts with us to use the RDC scanner to process their deposits as well...and to make matters worse, apparently someone on our end has allowed this and even assisted the customer in getting it set up to do...Has anyone else experienced this situation? Or do any of you allow for it in your agreements?

Unfortunately, a lot of banks are "getting into" RDC without really knowing what they were "getting into." You really need to get your contract provisions nailed down tight before opening the flood gates. That usually means asking for some legal help.

The other piece of the problem is employee training. Your employees need to know what can and cannot be permitted, and they need to stick to it.

We strickly control the accounts that are effected (deposits allowed into). Our application form specifically lists the account numbers that will have activity. Modification of the setup or parameters would be a violation of the agreement/contract. The staff that have access to the program should be aware of all limitations regarding the RDC and how the setup effects your risk assessment, analysis, and liability. Circumvention of controls by an employee should be dealt with strongly.

I have had customers ask about being able to do this. However, once I explain that my contract is with the company and the company would be held responsible for any actions of the employee, they change their mind. Like cbinder, we also have agreements that list which accounts the customer has set up for the service and that all accounts would be held to the T&C's.

Generally, the company wants to offer this for their employees to deposit their paychecks. I sell them on ACH origination for Direct Deposit instead. Always another way to skin that cat.

Well, our second merchant capture customer wanted this and got it. She has several businesses set up, each with seperate agreements and accounts, but she also wanted to be able to run her personal account through and we said yes rather than lose the 3 businesses she brought and it defeated the purpose of her not coming to the bank if she still had to come for herself.

We have a seperate agreement for her personal account as well, but it did take rewriting the agreement that the main account must be a business but we will allow the owners personal accounts to in the product as well.

I'd like to bump this topic & see if there are any more opinions in the last year. We've gotten this request from a couple of our RDC customers. The principal of the business wants to make deposits directly to their personal accounts.

I assume new TIS disclosures are involved if there are fees associated with making the deposits.