The primary purpose of this blog is to share how a secure, on-demand MICR check printing solution can improve the funding process for real estate closings and other transactions. In this blog, we will define remote check printing and explain why it’s important. Additionally, we will discuss why you should consider CheckPartner Enterprise (CPE) software and why Source Technologies has been a trusted financial services company for over 35 years.
What Is Remote Check Printing?
Secure on-demand remote check printing is a solution that allows lenders, commercial banks, title companies, closing agents, and others to print cashier’s checks using blank check stock at the closing table in real time. This solution requires check printing software and a secure MICR check printer.
Secure remote check printing offers a more streamlined process that helps reduce costs for real estate attorneys and title companies.
Why Is Remote Check Printing Important?
Title companies hold and manage buyers’ and sellers’ money in escrow with the help of an escrow agent. An escrow account is a savings account managed by a third party, such as a title company, which distributes payouts.
Escrow accounts are common in real estate transactions because mortgage lenders want to make sure there is enough money for certain expenses. All parties involved in the process of buying a house will need to send or receive funds related to the closing transaction. Many mortgage companies require a wire transfer or good funds check prior to releasing the lien against the property being sold.
Wire transfers are expensive, often costing $25 or more for a single transaction, and sometimes a title company has multiple payoffs in a single closing. This can get extremely costly for a title company that might be doing fifty to a hundred closings a week. Good funds or cashier’s checks are an inexpensive alternative.
The challenge up until now has been that title companies have to send someone to the bank holding their escrow account to get a cashier’s check. Today, title companies can print cashier’s checks directly in their office, sometimes minutes before the closing, with remote check printing.
Remote check printing is important because it provides complete visibility and control over the loan funding process, eliminates the need for sending employees to the bank, eliminates wire transfer fees, and reduces manual reconciliation and record keeping. This results in a more efficient and secure way to manage check issuance while supporting best-practice disbursement management and fraud reduction.
Additionally, it can be deployed by commercial banks, title companies, and closing agents and can be integrated into a collaborative disbursement network to provide even more advanced best-practice models for mortgage closings.
This allows for cost savings and a competitive advantage for businesses that use it, offering tangible financial benefits to everyone in the closing process, often paying back the capital investment in well under a year versus traditional wire transfer costs.
Real Examples of Remote Check Printing
There are two main deployment models for remote check printing: commercial bank deployment and title company deployment. Each model offers its own set of benefits for the bank, closing agent, and other parties involved.
Commercial Bank Deployment
A local bank deploys a remote check printing system as a managed software service for its commercial clients, including title companies and attorneys. The title company accesses the application via a secure web browser and enters the check request details.
An email is then sent to the bank notifying them of the check request. The bank is then presented with the details related to the loan and check request. The bank has the opportunity to approve or reject the check request.
The title company is then notified via email that the bank has approved or declined the check request. If approved, the title company is now approved to print the cashier’s check directly in their office using a secure MICR check printer. The bank can also allow the printing of title company checks drawn on the agent’s account.
This service allows the bank to acquire and retain title companies and attorneys as commercial clients, as well as boost commercial deposits.
Title Company Deployment
A title company deploys a remote check printing system as a managed service for its agents to issue non-good funds checks. The system is accessed via a secure web browser and uses secure MICR printers and blank check stock for check printing.
This service allows the title company to issue checks from multiple escrow accounts during the closing process. These checks can be used for paying realtor commissions, taxes, HOA dues, and recording fees — to name a few.
This solution provides approval workflows as well as audit reconciliation reports, which can greatly reduce internal and external fraud.
Tips and Reminders for Remote Check Printing
The current check issuance process for real estate closings involves the closing agent (title company or attorney) managing the process among the seller, buyer, and lender by preparing documentation, facilitating the funding of the loan, preparing payoff checks, and scheduling and conducting the closing.
However, this process can be costly and time-consuming as it often requires multiple preprinted checkbooks and can lead to check fraud and manual reconciliation. In addition, most lenders require a wire transfer or good funds checks prior to releasing a lien.
Our secure MICR check printing solution eliminates the need for multiple preprinted checkbooks and reduces the risk of check fraud. Additionally, the CheckPartner Enterprise (CPE) software reduces the need for manual reconciliation and record keeping.
Checks can be created manually or by importing data from other sources. CPE is scalable, allowing a virtually unlimited number of item types, which makes it the perfect solution for businesses with multiple branches or locations that need to be able to print checks.
CPE’s Web Interface provides end users the ability to perform all the common business processes associated with check printing:
- Authentication – Users log into the system via username and password
- Item Types – Supports an unlimited number of disbursement items
- Queues – A view of checks designed for a specific purpose
- Printing – Checks may be printed individually or in a batch
- Voiding – Authorized users can void checks
- Manual Entry – Data-entry screens are used to enter checks into the system
- Exporting – CheckPartner Enterprise can export data to other systems
- Searching – Users can search for records using any search criteria
- Reporting – Supports reporting using the plug-in interface
- Approving – Admin-defined approvals by check type
Closing
Remote check printing is a modern, efficient way to streamline the check issuance process in real estate closings, mortgage lending, and other commercial transactions. It helps businesses gain centralized visibility and control over check issuance while streamlining their overall processes.
Source Technologies’ secure MICR printers can now be deployed by commercial banks, title companies, closing agents, and other businesses. Acquiring and implementing these printers makes it possible to eliminate the need for pre-printed checkbooks, reduce manual reconciliation and record-keeping, and minimize internal and external check fraud.
Furthermore, the use of CheckPartner Enterprise (CPE) leads to a collaborative disbursement network, allowing for dynamic information sharing and control among trusted partners, leading to faster decision-making, greater efficiency, and less risk.
Overall, CheckPartner Enterprise is an important tool for any business looking to improve its check issuance process and gain a competitive advantage in the marketplace.
To take advantage of these benefits and achieve “best in class” closing processes, it is important to work with a reputable solution provider such as Source Technologies.
CheckPartner Enterprise was developed in 2005 and is used by commercial banks, credit unions, insurance companies, government agencies and corporations of all sizes. It offers a range of deployment options and customizable solutions to meet the specific needs of your business. Don't miss out on the opportunity to improve your loan closing process, reduce costs, and gain a competitive advantage.
Contact Source Technologies today to learn more about their remote check printing solutions.
Who Is Source Technologies?
Source Technologies is a Charlotte, NC-based financial services company that has 35+ years of manufacturing, software development, and software integration experience. Our primary mission is to empower financial institutions and corporations to become more efficient, secure, and customer-centric by integrating payment solutions that meet their specific requirements. Source Technologies offers a secure and efficient solution for financial transactions through dynamic hardware, software, and self-service solutions. We provide MICR printers for printing checks and other negotiable documents with enhanced security features, as well as software for printing checks remotely while maintaining central control over the process.
