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Credit unions lead the way with dual-purpose cash and check scanners

According to recent reports, credit unions lead in free checking services, thanks in part to dual-purpose cash and check scanners. According to the Credit Union Times, few banks offer free checking services but many small credit unions give the same benefits at no charge.

" ... Free checking has become increasingly rare at large banks, [but] it is still very prevalent among credit unions," said Greg McBride, chief financial analyst at Bankrate to Credit Union Times.

These new results are unsurprising, considering only 37 percent of banks offer free checking compared to 78 percent of all credit unions. Credit unions can invest in dual-purpose cash and check scanners to scan incoming checks used by their members. They can also be used to keep accurate records of all non-digital payments.

Free checking and low incomes: A strong partnership

For many financially weary millennials and Generation Xers, the prospect of anything free from their banks is welcome. Many banks and financial institutions are implementing freebie policies such as one-time overdraft forgiveness and free financial consultation. According to American Banker, banks and credit unions are investing in technologies such as online bill payment, e-statements and mobile money transfers. These strategies intend to bring in skeptical millennials and turn them into loyal customers. However, with recent concerns over credit and debit card theft, more customers are turning towards traditional payment options such as cash and checks.

Financial concerns such as data theft are not unfamiliar to millennial shoppers. Within the past decade, several companies were targets of gigantic data leaks, leaving millions of debit and credit card owners vulnerable. Cash and checks remain a popular and useful form of payment for those concerned with data security.

Why invest in a check scanner?

Dual-purpose cash and check scanners can benefit financial institutions in a variety of ways. They provide serial number scanning and bank routing number scanning to see which checks are received from which locations as well as to prevent counterfeits from entering the process. They are also helpful for keeping archived records of how many non-digital payments are made to a system per day, speeding up processes for credit union employees and consumers. These dual-purpose cash and check scanners can be updated frequently, meaning that machines will never go out of date and will always stay relevant for your business. 

June 9, 2016