Copyright © 2005 Secure Payment Systems, Inc. All Rights Reserved.

Electronic Check Processing and Deposit

Web-Based Accounts Receivable Conversion (ARC) / Check 21

Solution

Checks deposited faster

Drastically reduces transaction fees

Sales tool for reselling

Business Opportunities

According to the Federal Reserve, as of

September 11, 2006, approximately 17 percent

of the checks or slightly over 6 million checks a

day, were deposited via Check 21!

Industry Fact

Understanding Check 21

- Check 21 provides a Retailer/Merchant/Biller with the opportunity to convert any type of paper check, for purposes of transmitting it electronically, where it may re-emerge in the bank clearing system as the legal equivalent of the original check through a substitute check document known as an Image Replacement Document (IRD)

- It is applicable to ANY type of Check or instrument with a MICR* line

- It does not require permission or notification of any kind

- IRD must meet certain formatting requirements

*Magnetic Ink Characters at the bottom of every check

expresscheck21SM

expresscheck21SM is our brand new check21/ARC solution

expresscheck21 is a hybrid, “patent pending” web-based platform that processes and deposits all types of paper items into electronic transactions or substitute checks, all through a single point of entry system

expresscheck21 is designed for businesses who want to accept consumer and non-consumer checks at their business location. The checks are processed in the back-office where they are scanned and electronically deposited eliminating time consuming bank visits, saving on multiple register scanners, and bank NSF fees

Web-based, convenient, secure, and easy to set-up

24/7 online access to retrieve check images and payment status

Highly scalable to support any payment volume, from single users to large payment processing environments

Ability to accelerate check clearing by sending the check items directly to the Federal Reserve

Automatically captures the dollar amount on the check during scanning thereby reducing entry time and errors

Substantial savings on returned item fees

Key Features & Functionality

Secure and easy to set-up (web-based)

Enables acceptance of all types of checks at the point-of-sale

Requires no check scanning equipment at the register

Simplifies and speeds up check handling & processing

Lowers the cost of payment processing

24-48 hour funds availability*

Improves response time and accuracy

No more waiting in line at the bank

Promotes better customer service

Faster notification of returned items (3-5 days vs 7-10 days)

Facilitates better access, storage, retrieval, & distribution of checks

Enables consolidation of banking relationships for business locations

Substantial savings on returned items fees

Banks can accept images from us and settle directly with their merchants**

Benefits

*24 hour funds availability at a minimal surcharge **A small transaction fee reduction may apply

expresscheck21 requires a computer (Windows 2000 or newer operating

system), internet access with Internet Explorer 5.0 or greater, and one of the recommended scanners mentioned below:

Digital Check TS - 350- Accepts 100 checks at a time- Processes 60-80 checks per minute, + or – 3,000 per day - Images both sides of checks in one pass

Digital-Check TS – 230/65- Accepts 25 checks at at time- Processes 65 checks per minute, + or – 500 per day - Images both sides checks in one pass

Magtek MICRImage- Accepts 1 check at at time- Processes + or - 30 checks per day- Images both sides checks in two passes

 

expresscheck21 Technology

Digital Check TS - 350

Digital Check TS – 230/65

Magtek Imager

Web Hosted expresscheck21

Software

Consumer ItemsNon-consumer Items

Checks received are scanned and processed via expresscheck21’s high speed web hosted software and sent electronically to Secure Payment Systems for processing

expresscheck21 automatically distinguishes and converts consumer items (processed as ACH items) and non-consumer items, including corporate checks and payroll checks (processed as Check 21 IRD)

1.1.

2.2.

+

expresscheck21 Process

expresscheck21 electronically debits funds from the customers account and deposits funds in merchants bank account. Funds are available within 48 hours, alleviating a trip to the bank

 

3.3.

Consumers Bank Merchants Bank

Upload files into your in-house accountsreceivable system  

4.4.

expresscheck21 Process Contd…

Open your web browser & log onto:

www.securepaymentsystems.com

Click on expresscheck21 Website under “Product Links”

Web Browser

Enter your customer information

in uppercase letters:

- File Code- User Name- Password

Hit ENTER

Customer Login

Welcome Page

From the Welcome Page, you can view important announcements and transaction cut-off times

You can also access the IRD and ARC System

Select ARC System from the menu on the left hand side to get started

Main Menu

The Main Menu supplies you with all the options available in our ARC System

Select Scan Checks to begin processing checks

Easy-to-use solution, requiring a computer, check scanner, and internet access

24/7 access to retrieve check images and authorization via our secure website

Concise, real time reporting available on-line

Real-time verification database reduces risk of accepting bad checks and collection costs

No bank deposit fees

Files to update your in-house accounts receivable system

Conclusion

We are Committed to Providing Superior & Affordable ACH and Check Processing Solutions

Secure Payment Systems10650 Scripps Ranch Blvd. Suite 109

San Diego, CA 92131

Tel: 1.888.313.7842Fax: 858.549.1323

www.securepaymentsystems.com

Interested in a Web Demo?Email: webdemo@securepaymentsystems.com

Getting Started