Remote Deposit Capture & MSBs

Posted By: CantBeShocked

Remote Deposit Capture & MSBs - 02/28/08 03:29 PM

What are your thoughts about offering this product to MSB customers ? There are risks involved of course.........need some help........please give opinions.

Thanks
Posted By: rlcarey

Re: Remote Deposit Capture & MSBs - 02/28/08 04:37 PM

As long as you have the proper internal controls in place for RDC, what difference is there really between in person deposits and RDC for an MSB??
Posted By: Milby

Re: Remote Deposit Capture & MSBs - 02/28/08 05:07 PM

At a recent gathering of regulators, lawyers, and bankers in N. Texas, the general consensus was that this is not a good idea.

The difference between in-person and RDC deposits is that when they give me the physical check, I keep it. With RDC, they scan the check and keep it themselves. MSBs are already high risk customers...why offer them a high risk product as well?

I personally won't allow it. Just not worth the aggrevation.
Posted By: rlcarey

Re: Remote Deposit Capture & MSBs - 02/28/08 05:11 PM

I guess I was assuming that you meant image capture and not ACH conversion. I would agree that if you are contemplating ACH conversion, I would not do it.
Posted By: markp

Re: Remote Deposit Capture & MSBs - 02/28/08 07:00 PM

Besides MSB's what other types of business do you regard as non acceptable industries for RDC.
Posted By: rlcarey

Re: Remote Deposit Capture & MSBs - 02/28/08 07:08 PM

If you are talking about ACH conversions, any type of high risk customer in which you want to actually look at their deposits items for monitoring purposes.
Posted By: CantBeShocked

Re: Remote Deposit Capture & MSBs - 02/28/08 09:51 PM

Found out that legal asks that we do not sell the product to MSBs, Pawn Shops, consumers (business only), and a few other "higher risk" customers.