First Banking Center - Check 21 Information

First Banking Center would like to help educate you on a new law called the Check Clearing for the 21st Century Act or "Check 21". Listed below are some common questions or concerns you may have regarding Check 21. Click on the link to jump to the answer you'd like on a particular question.

What is it?

Answer:

In 2003, the President and Congress passed into law the Check Clearing for the 21st Century Act or "Check 21". It was drafted in response to the need for a more secure and efficient means of processing and transporting checks, particularly after the events of September 11, 2001.
Check 21 allows all banks to replace the original check with a paper reproduction (front and back). This reproduction, called a substitute check, is created from a digital image of the original. It contains the same information and becomes the legal equivalent of the original check.
Effective October 28, 2004, the Check Clearing for the 21st Century Act or "Check 21" will bring the nation's check-payment system into the digital age and allow consumers to benefit from better and faster financial services.

How Will It Benefit You?

Answer:

Detects Fraud Faster - Since check clearing is faster, fraud can be detected and investigated sooner which brings about a quicker resolution.
Faster Check Clearing - You get a more accurate picture of your account balance.
Quicker Response - Check images can be accessed faster to resolve questions.
More Secure Check Information - Checks do not have to be physically transported via truck, train, or plane.

How Will It Affect Your FBC Account?

Answer:

You can continue to use your current paper checks and accept paper checks from others.

If you currently receive images of checks with your statement, you will continue to receive images of checks with your statement; if you do not receive images with your statement, you will continue to receive statements without images.

Check 21 will result in a reduction in "float time", the time between the cashing and clearing of a check. Account holders, who sometimes rely on "float time" to maintain balances, will need to be careful to avoid being overdrawn.

At any time, First Banking Center will still be able to provide you with an image of your check should the need arise.

Remember the image of the substitute checks contains exactly the same information shown on your original check and it is considered a legal equivalent.

If you have any other questions regarding Check 21, please e-mail us at fbcinquiry@firstbankingcenter.com.

Notice - As a reminder, e-mail sent over the Internet does not carry the same secure connections as other secure forms. We do not recommend sending confidential information such as account numbers or social security numbers via e-mail.