Check preparation method and apparatus incorporating check sum proof entry

A check printing method and apparatus are disclosed. To reduce proofing obligations, the present disclosure sets out a check printing apparatus. The apparatus is enhanced to print the payee name, date and check sum. The check sum is printed in accordance with this disclosure at a specified location in Arabic numerals of the modified MICR format and which numerals are readable by an MICR apparatus. A method of preparation of a check is likewise set forth.

BACKGROUND OF THE DISCLOSURE 
The present disclosure is directed to check printing apparatus and a method 
of using the apparatus to enhance the printing of checks. This is best 
placed in context by review of the procedure by which checks are 
negotiated. 
Typically, a depositor opens a checking account in an issuing bank and is 
provided with preprinted checks. Among other things, the preprinted checks 
include fields which encode several sets of important numbers. One of the 
important numbers is the bank number which is unique to the issuing bank. 
In addition to the bank number, there is an account number which 
identifies that particular customer or the account of the customer. The 
account number is important so that the debits and credits are properly 
allocated to the correct account. Another data is the check number. The 
check number is included so that the customer is able to correlate the 
check sum of the particular check with the check number so that the 
monthly statement can be reconciled both with the check number and amount 
in an organized fashion. 
Deposits are made periodically and withdrawals are made by issuing checks. 
When the checks are presented to various merchants, those merchants 
typically deposit the presented checks of the customer along with checks 
of numerous other customers in their own account. By means of a network of 
check clearing routes, the checks are transferred between financial 
institutions. The issued check may be mailed across the country and is 
returned to the issuing bank through banking channels. As will be 
understood, suitable debits and credits are made so that the customers 
account is balanced daily to the remaining amount. 
When the checks are transferred from a foreign bank, they are ultimately 
received at the issuing bank. Checks are then entered against the various 
accounts of that particular bank. This process is known as check proofing. 
It is necessary to encode certain data on the check so that proofing can 
be carried out. Because of the large number of checks received by a 
typical financial institution, the proofing department is a substantial 
undertaking, and involves numerous personnel. A very substantial and 
important step in the proofing department is the encoding of the check 
sum. The check sum is determined by the customer; for instance, the 
customer may elect to pay by means of check for goods and services 
received from all around the country. In the example given below, where 
the sum is $329.00 for purposes of description, assume that the bank 
depositor utilizing a preprinted check issues a check in the amount of 
$329.00 for satisfaction of some purchase. In that event, the check is 
received back at the issuing bank of that depositor and passes through 
proofing department. It is necessary to type the proof information on the 
face of the check. This is a step which requires hand labor. 
The check sum is written on the check in two forms. The check sum is 
written in Arabic numerals. This however is not the controlling entry. 
While it is convenient and it is meant to be the same as the amount of the 
check, they are not always the same of legible handwriting or free of 
depositor error. When the bank customer issues a check, the check sum must 
be spelled out. Using the example of $329.00, the check requires an entry 
of $329.00. The personnel in the proof department must read the Arabic 
entry as mentioned, the handwritten sum entered above and encode the check 
sum on the face of the check. 
The present disclosure is directed to a check printing apparatus which, in 
the hands of the depositor, enables the bank to reduce the labor and 
related activities necessary for proofing the avalanche of checks which 
are received on a daily basis. 
Proofing at the bank is necessary to make the necessary deductions or 
additions to the accounts of the numerous customers at the bank. This is 
labor intensity. The labor is involved in typing the check sum for the 
third time on the face of the check. At the time of issuance, that number 
is entered twice by the depositor. The present system proposes that the 
depositor enter the amount a third time in the fashion to be described. 
The third entry is preferable made in the form of MICR ink. The preprinted 
check ordinarily includes the bank number, the check number, and the 
account number in MICR ink. This is ink which, while black and opaque, 
also includes sufficient ferrous metal materials to enable an MICR reader 
to recognize the characters. When the check is negotiated by the 
depositor, the check sum is the primary entry which is created in the 
proofing department so that the check can be posted to the account of the 
customer to enable the proper debits and credits to be made. Accordingly, 
substantially all the labor involved in the proofing department is related 
to the steps of entering the check sum in MICR ink. 
One aspect of the present invention proposes a system in which the check, 
at the time it is issued, is encoded with the proper MICR entry. In other 
words, the check sum is located at the right location on the check for 
easy reading. Likewise, it is recorded in MICR ink so that the same 
equipment which read other fields of data can likewise recognize this 
data. This particularly finds advantage with a device which is provided by 
the Panasonic Corporation and is sold as Model KX-RC100. This particular 
device is known as the CPA or check printing accountant. It is able to 
write checks. It incorporates a calculator function which enables the 
various and sundry data on the check to be recorded and saved. Moreover, 
it also enables the capture of data regarding the check at the time it is 
actually printed. This equipment is able to print the payee and the check 
sum. The date likewise can be entered. All of this is entered at the 
appropriate locations on the blank check. 
As a generalization, the check is laid out with a common format. Utilizing 
that format, the check is provided with a first blank which is for the 
date. A second field is the field in which the payee is entered. A third 
field is the Arabic entry of the sum, hereinafter the check sum. The 
fourth field is the check sum which is usually long hand or in a spelled 
out version. This provides conformance to the various codes determining 
legal rights and remedies with regards to bills, notes, checks, drafts, 
etc. The fifth field is an entry for any memo such as identification of a 
particular bill for a particular month. The sixth field is the check sum 
and it is the same value as the third and fourth fields. The sixth field 
however is like the third field in that it is preferable entered in Arabic 
form. However, the Arabic format for the sixth field is the MICR shaped 
characters which are readable by MICR reading equipment. In this instance, 
the ten symbols representing the ten numeric values are modified in shape 
so that they are nevertheless readable to the human eye and are also 
readable by MICR reading equipment. That equipment is provided, among 
others, by vendors such as the Burroughs firm. Burroughs' has provided a 
large share of the check proofing equipment in use by financial 
institutions in this country. 
One aspect of the present disclosure is that a check writing system is set 
forth which reduces the proofing steps of the bank for the bank depositor. 
The depositor thus has only to perform this step to enable the bank to 
reduce the cost of providing its services. This enables the service charge 
to be reduced. By reduction of the service charge, the present system is 
able to provide the same banking services at a reduced expense. 
Going now to another aspect of the present disclosure, the check is 
provided with a sixth field so that the MICR readable characters are 
included for the check sum. This is helpful at the time of proofing. It is 
printed typically on a wallet size check which is ideally processed by the 
CPA equipment mentioned above. The CPA equipment preferably prints what is 
known as a standard wallet check. This is a check which has dimensions of 
about 2.75 inches by 6 inches. The financial institution, normally a bank 
in the ordinary course, provides to the depositor a supply of prenumbered 
checks which have the depositor's account number printed on them. As was 
discussed, this is prepared before the checks are distributed to the 
depositor. Once the depositor is provided with such checks, the checks are 
issued to a payee that the depositor selects and are encoded with the 
check sum. In this modified approach, the check sum is entered in three 
locations. The locations are at the third, fourth and sixth fields for 
entry of data. The check sum, once entered, markedly enhances the dispatch 
of the check through banking channels so that it is returned to the 
issuing bank. This is especially accomplished through the use of the 
present apparatus which represents a modification of the CPA equipment 
provided by Panasonic. 
BENEFITS OF THE PRESENT SYSTEM 
One of the benefits of the system which will be described below in detail 
is that the check writing system prints the check with an MICR entry which 
is the proof sum necessary for handling in the proof department. This 
check sum enables the checks to be appropriately handled. Moreover, the 
MICR ink is machine readable so that proofing can be accomplished with 
substantial reduction of handling while yet accomplishing proper entry of 
the charges to the account of the depositor. More specifically, an 
additional field is defined on the face of the check so that the check sum 
is entered in MICR readable ink. Ink which is readable by magnetically 
triggered equipment is preferred. To this end, the ink incorporates 
ferrous materials in it to assure a readable entry recognized in this 
fashion. 
One important aspect of the present disclosure is the surprisingly simple 
approach by which the CPA device can be converted to provide this. In view 
of the fact that the cost of the services at the financial institution are 
markedly reduced, the financial institution and the depositor can both 
benefit by reduction of service charges.

DETAILED DESCRIPTION OF THE PREFERRED EMBODIMENT 
Attention is now directed to FIG. 1 of the drawings where the numeral 10 
identifies the preprinted check form. This check form is preprinted in all 
regards and preferably has a conventional or standard size, one size being 
mentioned above. This representative size is more than satisfactory for 
the preprinted check 10. As appropriate, the check is preprinted with 
graphics at the upper left corner to identify the name of the depositor 
and other information. This is located at the upper corner at 12. There is 
a first field for entry of data which is on the line 14. This field of 
data is the date. The date is typed or printed in the field 14 in the 
fashion to be described. A second field of data is at the line 16 where 
the payee is entered. To conform with various state laws, the payee 
normally requires the name of the person or business entered at the line 
16. This represents a second field of data. The third field of data is the 
Arabic amount which is entered on the line 18. That field of data is the 
amount to be paid. It is the check sum as that word of art was defined 
above. The fourth field of data is placed on the line 20 and is the check 
sum. The third and fourth fields differ in that the third field is 
provided in Arabic numeral form while the fourth data field is provided 
with the amount spelled as illustrated in FIG. 1. In this particular 
embodiment, the line 22 is the location for a fifth field and in this 
instance, that is preferably a memo regarding the nature of the payment or 
some other important information. The numeral 24 identifies a signature 
line. Below the signature line, the proof amount is the check sum entered. 
Before that is described fully however it needs to be located with respect 
to certain other entries. 
One important number on the check is the bank number at 30. That is encoded 
when the checks are preprinted and is placed on the check in MICR form. 
The check number is incorporated at 32 and also in MICR ink and is machine 
readable. The check number 32 at the lower left corresponds the check 
number 34 which is written at the upper right. One difference between the 
two involves slight modifications in the type face for the check number, 
i.e. it is preferable to use the MICR form of the ten numerals so that 
they are readily read by the processing machinery. The numeral 36 
identifies the depositor's account number. In a small bank, it might be 
only four or five digits while it can be nine digits in a larger bank. 
This however is a number which is written parallel or on the line with the 
bank number and check number. In other words, the numbers at 30, 32 and 36 
are written substantially serially. 
The proof number, one aspect of the present disclosure, is identified at 40 
and it is written at the common line with the numbers 30, 32 and 36. It is 
set off to the right. There is ample room beneath the signature line 24 or 
the proof number. Even in the event that the signature is written in 
cursive fashion and is both above and below the signature line 24, it does 
not interfere with the MICR number entered at 40. This number is formed of 
MICR ink so that it can be read by that type of equipment. Hence, the 
actual appearance to the unaided human eye is not important. What is 
important is that the proof number of the check sum at the line or 
location 40 be identical numerically to numbers entered at the fields 18 
and 20 previously discussed. 
Ordinarily and in times past, the check sum was entered in the proof 
department of the bank by individual operators operating MICR equipment 
which types the MICR number on the check. The MICR number is the check 
sum. That process requires reading and is subject to human error. 
Moreover, that requires that the check be hand converted in the bank. This 
is expensive and increases the cost of bank operation. 
One purpose of the present disclosure is to assure that the sixth field is 
provided with the check sum but that it is also written in MICR ink and is 
located on a line which is common with the entries 30, 32 and 36. The 
numbers at 30, 32 and 36 must be read in processing the checks 
automatically through the equipment maintained in the proof department. 
The type equipment readily reads the number entered at 40. 
While the foregoing sets forth the check of the present disclosure and 
shows how it is formed and organized, one apparatus for making this check 
is the CPA equipment device just mentioned. More particularly, that 
equipment is arranged so that a keyboard is used by the depositor to 
prepare the necessary data for entry. In other words, the data is entered 
by the depositor who operates the keyboard so that the various fields of 
data are completed. The fields of data include the first field which is 
the date, the second field which is the payee, the third and fourth fields 
which are the check sum, and the fifth field which is the memo, as needed. 
The present procedure contemplates the addition of a sixth field which is 
the MICR entry of the check sum so that subsequent processing is more 
readily accomplished. 
Attention is now directed to FIG. 2 of the drawings where the CPA device is 
shown. The device 50 has been opened so that the inner workings of the 
device are exposed. It is sized somewhat larger than the wallet sized 
check which is positioned in it. The two halves join at a piano hinge 52. 
A check is captured adjacent to an area 54. It travels lengthwise in the 
equipment. As it travels, it passes beneath a printhead 56. The printhead 
56 is used to form printing on the face of the check. In addition, there 
is a removable printer ribbon assembly 58. The ribbon assembly 
incorporates an alignment pin 60 which plugs into a pivoted housing 62. A 
similar connection is made at the opposite end so that the ribbon carrier 
58 is properly aligned. The ribbon 64 faces upwardly once the housing 62 
is folded flat. In the illustrated solid line position of FIG. 2 of the 
drawings, the printhead has been rotated along with the housing 62 to show 
how the ribbon is removed and replaced. The ribbon on the ribbon cartridge 
58 spools on a take up reel at the left end 66. The ribbon is stored 
there. Periodically, the ribbon is replaced. At the time of replacement, 
the ribbon cartridge 58 is pulled away from the housing 62 along the 
dotted line as indicated in FIG. 2 of the drawings and is removed. It is 
replaced in the equipment by simply pushing the ribbon cartridge down 
against the equipment so that the ribbon overshadows the printhead 56. The 
printhead 56 forms the necessary symbols or characters for reading. It is 
preferable that the ribbon 64 place ink on the check form 10 which is 
readable by MICR equipment. In ther words, this requires a ferrous pigment 
in the ink to assure reading by MICR equipment. 
Through keyboard entries readily available to the user of the CPA printer 
50, the data for the necessary fields are entered. This data includes the 
payee and the check sum. While date can be hand entered, it is also 
automatically generated. The preprinted check form includes the numbers 
located at 30, 32 and 36 when the check form is supplied. The check sum 
however is the important entry for the depositor and also the proof 
department. The check sum is entered by means of keyboard manipulation of 
the CPA device 50. This creates the necessary requisite Arabic numeral 
entry in the third field at 18. Likewise it creates the same numeric sum 
i.e., the check sum, and that is entered at the sixth field 40 in FIG. 1 
of the drawings. The MICR ink ribbon 64 is used to print the number at 40. 
Indeed, MICR ribbon material is used for printing all aspects of the check 
on the face of the check. It is not necessary to change ribbons merely to 
provide the MICR ink at the field location 40. Rather, MICR ink can be 
used at all locations. 
The blank check 10 is placed with the face directed upwardly on the platen 
70. The printhead 56 is positioned opposite the face of the check 10. The 
check entries are created by keyboard or other operation of the CPA 
equipment. Then the user need only operate the CPA equipment to complete 
the check issuance transaction. When that occurs, the check is forced out 
of the housing of the CPA device as it traverses the equipment. The check 
passes beneath the printer and the data is entered by the printhead 
utilizing the ribbon 64. The required check sum, the amount of $329.00, is 
typed at the field location 18 and 20. Once this sum is entered at the 
field locations 40, the MICR entry for check proofing and processing at 
the issuing bank is complete. At that point, the check may be negotiated 
through conventional banking channels. It does not matter that it has to 
pass through several sets of hands. The depositor is able to create the 
MICR entry on the depositor's own initiative. This requires nothing extra 
of the depositor. Rather, it is executed in the check printing equipment 
of the present disclosure. It is processed by virtue of the CPA device 50 
printing the check sum in the MICR proofing field at the location 40 on 
the face of the check 10. 
In summary, the foregoing sets forth a method of using the above mentioned 
apparatus to print checks which are more easily proofed. A form of check 
has been set forth. A check printing process and apparatus of likewise has 
been disclosed. It is believed that banking transactions will be 
streamlined in accordance with the foregoing steps. Banking transactions 
involve deposit of the check at a foreign bank (meaning a bank which is 
remote from the issuing bank), which check ultimately arrives at the 
issuing bank. Credits and debits between the foreign bank and the issuing 
bank are settled in the bank to bank relationship and credits and debits 
to the individual accounts of the depositor are made. 
While the foregoing is directed to the preferred embodiment of the present 
disclosure and includes methods of use thereof, the scope of the present 
invention is determined by the claims which follows.