Lincoln, Nebraska â May 5, 2005: Automated Systems, Inc. (ASI), a leader in providing core banking software and advanced imaging solutions to community banks, announced today that the Cowboy State Bank of Ranchester, WY (CSB) has begun sending electronic image cash letters to the Federal Reserve Bank (FRB). Using the Insite Banking System, Cowboy State Bank began sending their imaged electronic cash letter directly to the FRB on April 28, 2005. This new capability is an important step towards the implementation of requirements set forth in the Check 21 Act.
CSB is the first Wyoming community bank to transmit electronic cash letters to the FRB, and is among 60 financial institutions nationwide transmitting electronic cash letters to the FRB.
CSB has implemented the Insite Check Imaging System in both of its locations, allowing each location to image its own items utilizing Canon CR-180 check scanners. The branch location transmits imaged items to the main facility via an encrypted, VPN tunnel. Check images with MICR line information are then aggregated and electronically sent to the FRB via FedLineÂ® for the Web. This ability has eliminated the bankâs need for a courier service and reduces float associated with the bankâs outgoing remit items.
Mike Butcher, CSB Vice President/Cashier, commenting on the benefits of electronic check clearing noted:
"ASIâs ability to work with the Federal Reserve and deliver advanced solutions has allowed us to realize benefits that historically have been available only to the largest financial institutions. One benefit is that we will save a minimum of $1,000 per month in courier expenses. Our customers will benefit because we can hold the current business day open longer and because of the faster availability of the funds."
Brad Perry, ASI Operations Manager, commenting on achieving the certification as an Image Vendor with FRB indicated:
"Obtaining certification as an Image Vendor with the FRB is an important part of our ongoing strategy to provide our users with the technology that is consistent with their processing requirements and needs. The ability to process outgoing remit items electronically will provide our users with opportunities to improve processing efficiency and reduce costs."