Annual Greenhouse Gas Emissions Could Drop More Than 1 Billion Pounds Through Online Check Deposit Use, Payments Firm Reports

5 March 2008

Billions of pounds of greenhouse gas emissions could be saved each year if small businesses adopt online check deposits, estimates BankServ, a worldwide electronic payments company. Online check deposit services let businesses and individuals use desktop PCs, check scanners and the internet to deposit checks directly into their bank accounts without travelling to the bank.

Because online check deposit services are widely available from financial institutions and directly through products like BankServ’s DepositNow!, BankServ believes that businesses should move immediately from costly, “deposit run” banking. Even if the nearest bank branch is only a few miles away, cutting out that short trip every day reduces a typical firm’s annual fuel consumption by 50 gallons and greenhouse gas emissions by 1,000 pounds.

“When we calculated the time and environmental cost of routine deposit runs, we were amazed to see the impact that even short car trips have on the environment,” said Dave Kvederis, BankServ's President and CEO. “We found if you reduce the amount you drive by even a few miles a day, you can cut carbon emissions by half a ton each year.

“The one thing always missing from online banking was the ability to make a deposit – you still had to drive to the bank. DepositNow! solves that need for businesses and depositors of all financial institutions who are looking to make check deposits online.”

For each 1 million businesses that switch to online deposits, more than 2 million barrels of oil are saved annually in addition to the reduced greenhouse gas emissions. Those businesses would also save approximately 75 million sheets, or 800 trees' worth, of paper per year that would otherwise be used to print deposit slips.

“When you think of ways to help the environment, online check deposits have not normally jumped to mind,” said Kvederis. “But if a million people are doing it, suddenly we're saving 250,000 gallons of gasoline a day. The message is simple: When safe, secure technology lets you reduce the time spent in your car or sitting in traffic, you make a positive impact on the environment all while saving time and money. It’s win-win for businesses and the planet.”

Online check deposit use is expected to grow rapidly in coming years. Financial industry analyst firm Celent predicted in a June 2007 research report titled “State of Remote Deposit Capture” that online deposit (“remote deposit”) users will approach the one million mark within the next two years and potentially grow to over five million by 2012.

Become a bobsguide member to access the following

1. Unrestricted access to bobsguide
2. Send a proposal request
3. Insights delivered daily to your inbox
4. Career development