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The usage of remote deposit capture has been increasing rapidly in the recent past. This is because the technology is convenient and also because check processing became very difficult during the lockdowns which were induced by the coronavirus pandemic. As a result, corporations were forced to deploy remote deposit capture machines in order to continue to run their processes.
In fact, the coronavirus pandemic has ensured that banks make the remote deposit capture feature available for retail customers as well. In many parts of the developing world, retail customers can also deposit their checks and encash them by simply taking a picture of the same.
In the previous article, we have studied about the working of the process as well as its benefits. However, it would be wrong to say that the remote deposit capture process is without any risks. There are some significant risks which are associated with this process. In this article, we will have a closer look at some of the most obvious risks which are associated with the remote deposit capture process.
However, banks are very diligent about fraud. Hence, they have systems in place to detect such fraudulent redeposits. Banks lay down significant penalties for such redeposits. This is done to deter fraudulent attempts. Hence, the administrative error of a few clerks can cost the company a lot of money in terms of charges and fees.
There are many fraudulent people who are aware of advanced digital techniques with which they can create counterfeit checks which appear just like an original on a scanned copy. This may be done by the staff of the corporate customer while trying to embezzle money.
Corporate customers have to be sure whether their insurance covers the liability which may arise from frauds related to remote deposit capture. Sometimes, insurance companies may not cover the loss and in such cases, companies may have to purchase additional insurance. Commercial banks themselves are able to help customers meet their insurance needs. However, it is important for the customers to be aware of such risks.
In modern times, most commercial banks have been able to mitigate the various risks which arise due to the remote deposit capture technology.
Hence, remote deposit capture is generally viewed as being a safe mechanism to expedite the cash flow of a company. This is the reason that corporations all over the world are not paying attention to the risks but instead to the benefits of remote deposit capture. This is evident from the high rate at which this technological advancement is being adopted by various corporations across the globe.
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