A substitute check or cheque, also called an image cash letter (ICL), clearing replacement document (CRD),
or image replacement document (IRD),
is a
negotiable instrument used in electronic banking systems to represent a physical paper
cheque (check). It may be wholly digital from payment initiation to
clearing and settlement or it may be a digital reproduction (
truncation) of an original paper check.
Standards and formats
Software
Software consists of computer programs that instruct the Execution (computing), execution of a computer. Software also includes design documents and specifications.
The history of software is closely tied to the development of digital comput ...
providers have developed
"Virtual Check 21" standards within electronic banking systems which allows creation and submission of
demand draft documents to the bank of deposit.
Standards may include:
* Remotely created checks (RCC)
*
X9.37 files
Geographical significance
United States
The beginnings of substitute checks in the United States were formalized by the
Check 21 Act which came into effect in 2004.
See also
*
Remote deposit
*
Cheque truncation
References
External links
Understanding Laurentian Bank Cheque
{{DEFAULTSORT:Substitute Check
Banking in the United States
Federal Reserve System
Negotiable instrument law
Cheques
Banking technology
Banking terms