Abstract:
Described is an apparatus that includes a transparent film having a plurality of non-overlapping pockets created therein, each of the pockets including at least one opening and being sized and shaped to receive a check therein. The apparatus also includes front and back indicators disposed on front and back faces of the film, respectively, and unique pocket indicators disposed on the pockets.

Description:
This application is a Divisional application of U.S. patent application Ser. No. 11/504,473 filed on Aug. 14, 2006 entitled now U.S. Pat. No. 8,296,230 “System and Method for Remote Deposit System”. The entire disclosure of this prior application is considered as being part of the disclosure of the accompanying application and hereby expressly incorporated by reference herein. 
    
    
     BACKGROUND 
     Remote check deposit systems generally require a depositor (e.g., person/entity wishing to deposit a check) to own a check scanner and a computer with access to a computer network (e.g., the Internet). A check scanned by the check scanner is transmitted to a financial institution over the computer network so that the check may be cleared against an account of the check writer as a check or substitute check (e.g., in accordance with the Check 21 Act) or converted to an electronic debit for processing through an Automated Clearing House or direct clearing relationship. The funds may be credited to the depositor&#39;s account and debited from the check writer&#39;s account. When the depositor receives a large number of checks each day, it is economical to own and maintain the scanner, the computer and the network access. However, for smaller depositors which only receive a few checks per day/week, expenses from the scanner, the computer and network access unnecessarily increase overhead. There is a need for a remote transaction interface which eliminates the cost to the depositor of the scanner, the computer and the network access. 
     SUMMARY OF THE INVENTION 
     The present invention relates to a system and method for a remote deposit system. The method comprises receiving facsimile data corresponding to facsimile of a plurality of checks, constructing digitized images of the checks as a function of the facsimile data, gathering check data from each of the digitized images, and processing the check data according to a check processing procedure to settle transactions referenced by each of the checks. 
    
    
     
       BRIEF DESCRIPTION OF THE DRAWINGS 
         FIG. 1  shows an exemplary system according to the present invention for a remote deposit system; 
         FIG. 2  shows an exemplary front-end for a remote deposit system according to the present invention; 
         FIG. 3  shows an exemplary check carrier for a remote deposit system according to the present invention; 
         FIG. 4  shows an exemplary method according to the present invention for a remote deposit system; 
         FIG. 5  shows a method for digitizing checks according to the present invention; 
         FIG. 6  shows a method according to the present invention for sorting checks into a first subfile and a second subfile based on the check&#39;s categories; 
         FIG. 7  shows a screenshot of an exemplary embodiment of a software application according to the present invention; 
         FIG. 8  shows a method for depositing non-consumer check records stored in the first subfile according to the present invention; 
         FIG. 9  shows a method for depositing consumer check records stored in the second subfile according to the present invention; 
         FIG. 10  shows an exemplary embodiment of a digital check record; and 
         FIG. 11  shows a flow chart diagram of processing checks according to the present invention. 
     
    
    
     DETAILED DESCRIPTION 
     The present invention may be further understood with reference to the following description and the appended drawings, wherein like elements are referred to with the same reference numerals. The exemplary embodiment of the present invention describes a system and method for a remote deposit system. Those of ordinary skill in the art will understand that the present invention complies with all rules and regulations governing EFT and check processing including, but not limited to the Check 21 law allowing for the use of substitute checks. 
       FIG. 1  shows an exemplary embodiment according to the present invention of a system  100  for a remote deposit system for financial instruments (e.g., personal checks, corporate checks, business checks, traveler&#39;s checks, money orders, Federal Reserve checks, government checks, third party checks, convenience checks, cashier checks, official checks, non-U.S. checks, gift checks, etc.). The system  100  may also identify and process payment coupons submitted with the financial instruments. For example, the payment coupons may correspond to goods/services provided or an order for goods/services. The payment coupons may be processed in a substantially similar manner as the financial instruments, as described herein. 
     The system  100  includes a depositor  104  (e.g., an individual, an organization, a corporation, a government/municipality, etc.) which is connected to a host system  102  over a telephone network  106  (e.g., PSTN, ISDN, FDDI). The system  100  generally comprises a front-end implemented at the depositor  104  and a back-end implemented at the host system  102 . 
       FIG. 2  shows the front-end of the system  100  implemented at the depositor  104  which includes an electronic device capable of communicating with the host system  102  over the telephone network  106 . In the exemplary embodiment, the electronic device is a fax machine  108  which may be any conventional facsimile machine or other type of non-check scanner. When the depositor  104  intends to deposit a check  110 , the check  110  may be endorsed and placed into a carrier  112 . The carrier  112  is then fed into the fax machine  108  and faxed to the host system  102  via the telephone network  106 . A recipient electronic device (e.g., fax machine, PC, laptop, etc.) connected to the telephone network  106  at the host system  102  receives data, generates an image of the check  110  based on the data and processes the image to deposit funds in an account of the depositor  104 . The processing of the image crops each check image from the transmitted image, marries the front and back of each check image and performs optical character recognition (OCR) on a Magnetic Ink Character Recognition (MICR) line, in E13B or CMC-7 font, on the bottom of the front of each check image. 
       FIG. 3  shows an exemplary embodiment of the carrier  112  according to the present invention. The carrier  112  may be issued to the depositor  104  by an entity operating the host system  102 , or, in the alternative, the depositor  104  may construct the carrier  112  according to instructions provided by the entity operating the host system  102 . In this manner, the carrier  112  may uniquely identify the depositor  104 . For example, the carrier  112  may have a depositor identifier (e.g., individual name, company name, business identifier, bank account number, etc.) printed thereon, so that when the image of the carrier  112  is received by the host system  102 , the depositor  104  is easily identified, either manually or automatically (e.g., optical character recognition (OCR)), as will be explained further below. 
     The carrier  112  may be formed as two sheets of transparent material adhered to each other in selected locations to form any number of pockets for receiving a corresponding number of checks (or other financial instruments) therein. For example, in the exemplary embodiment shown in  FIG. 3 , the carrier  112  includes three pockets  115 , each having an opening for receiving the check  110  therein. When the check  110  is inserted into the pocket  115 , both faces of the check  110  are visible through the transparent material comprising the carrier  112 . Those of ordinary skill in the art will understand that the carrier  112  may include one transparent sheet if used with a single-side fax machine, because the depositor  104  may fax an image of the front face of the check  110  and reorient it to fax an image of the back face. However, the preferred embodiment utilizes the two sheets of transparent material, and may also use a dual-sided fax machine which simultaneously generates data for both sides of the carrier  112 . 
     Along with the depositor identifier, the carrier  112  may include other indicia which may be manually and/or automatically (e.g., OCR) identified at the host system  102 . For example, the carrier  112  may include “FRONT” and “BACK” markers indicating front and back sides of the carrier  112  and, similarly, front and back faces of the checks therein. Numerical markers may be used to indicate a position of each pocket (e.g., “1” for first pocket, and so on). The carrier  112  may further include one or more general pocket receiving, for example, a totals slip indicating a total number of checks and a total amount of the checks included in the carrier  112  in a predefined time period (e.g., a day, since a previous total amount was indicated), a note to the host system  102 , etc. The one or more general pocket (not shown) may be any size and shape while the pockets  115  are sized and shaped to receive the check  115 . Those of ordinary skill in the art will understand that two different carriers may be used: one with pockets sized and shaped for personal checks and another for business checks. In the exemplary embodiment, the pockets  115  are large enough to receive either a personal check or a business check. 
     When the depositor  104  intends to deposit the check  110  (and, optionally, other checks), the check  110  is inserted into the carrier  112 , and the carrier  112  is faxed to the host system  102  over the telephone network  106  using the fax machine  108 . A recipient electronic device (e.g., a computer  118  shown in  FIG. 1 ) receives the fax and constructs images of the front and back faces of the carrier  112 . The images are then processed by a computer  118 . The computer  118  identifies the depositor  104 , counts a number of checks and computes a total check amount which may be compared to the value provided on the totals slip. The computer  118  crops, if necessary, and combines the front- and back-face images of each check using pocket markers and/or page identifiers imprinted on the carrier  112 . The images may be automatically reoriented so as to have the checks in the same orientation. The host system  102  then performs OCR on a magnetic ink character recognition (MICR) line of the check. The computer  118  may use courtesy amount recognition (CAR) and legal amount recognition (LAR) and the value on the totals slip to confirm a total amount of the checks. If the total amount is not confirmed, the computer  118  may provide an alert so that an operator may visually confirm the totals. Also, if any of the checks do not meet standard or federal image quality assurance regulations, the depositor  104  may be asked either by the host system  102  via response facsimile or by an operator via telephone or email to re-fax the carrier  112  or the selected check(s) contained in the carrier  112 . 
     When the checks have been confirmed and processed, a response message (e.g., fax, email, letter) may be sent to the depositor  104  confirming the deposit. The images may be stored in the database  114  which is accessible via a network  116  (e.g., the Internet) for the depositor  104  to review its file(s) which are maintained by the host system  102 . 
     The database  114  may further include information, such as contact data for the depositor  104  and/or its customers (e.g., names, addresses, phone numbers, etc.), goods and/or services provided, amounts deposited, financial institution information, or any other data that the host system  102  may require to deposit the check  110 . In the alternative exemplary embodiment, the database  114  may include a plurality of databases situated in one or more locations with each database storing a particular type of data. The database  114  is accessible by the computer  118  (e.g., a computing arrangement that has basic input and output devices as well as memory and storage devices) and may be accessible by a further computer (not shown) at the depositor  104  via the telephone network  106  and/or the network  116 . 
     The system  100  is also described in conjunction with  FIG. 4  which shows an exemplary embodiment of a method according to the present invention. In step  200 , the depositor  104  may receive the check as part of normal retail business or generate and send an invoice to a customer notifying the customer that a payment is due for particular goods and/or services provided by the depositor  104  and/or a third party provider. 
     The invoice is only one of a plurality of means of apprising the customer of the outstanding debt. For instance, the customer may have a regular business relationship with the depositor  104  in which the depositor  104  supplies the customer with goods and/or services on a regular basis pursuant to a contract (e.g., monthly, weekly, etc.). In another instance, the customer has a contractual obligation to pay the depositor  104  on a periodic basis (e.g., monthly) and does not require a separate monthly notice in form of the invoice. In an alternative exemplary embodiment of the present invention, the customer may be a donor which has chosen to send an unsolicited donation to a charity or not-for-profit organization; the unsolicited donation would need to be accompanied by a notification of truncation/conversion of the check  110 . Thus, the step  200  of generating the invoice may be optional. 
     In step  202 , the depositor  104  receives the check  110  from the customer either in response to the invoice or for other purposes some of which were described above. The check  110  may be one of two categories/types: a first type of check drawn on a consumer account (e.g., a personal checking account); or a second type of check drawn on a non-consumer account (e.g., a business checking account, a third-party business account). It should be noted that the accounts of both the customer and depositor  104  may be at the same or different financial institutions. The process of depositing the check  110  may depend on the type of check. However, the exemplary embodiment of the present invention allows the depositor  104  to electronically deposit the check  110 , regardless of its type (i.e., consumer or non-consumer checks). 
     In step  203 , the depositor  104  inserts the check  110  (along with any other checks) into the pocket(s)  115  in the carrier  112  and faxes the carrier  112  to the host system  102 . 
     In step  204 , the computer  118  processes the fax of the carrier  112  in order to generate a digital masterfile  128  as shown in  FIG. 11 . The masterfile  128  contains a record  801  for each of the checks  110 . An exemplary record  801  is shown in  FIG. 10 . The exemplary record  801  is for a non-consumer check. The record  801  may include a digitized image of the check  110  (e.g., a front image  812  and a back image  814 ) as well as other check data such as an amount  810 , an ABA number  804 , an account number  806 , a check number  802 , and other information (i.e., the date when the check  106  was written or prepared for deposit; data obtained from the MICR line  800 ). Some of the check data may be obtained from a MICR line  800  as discussed in greater detail below. Those of ordinary skill in the art will understand that consumer checks may have the same format or a different format from the exemplary non-consumer check illustrated in  FIG. 10 . 
     The record  801  may be obtained by generating the image of the check  110  using the faxed copy of the carrier  112 . Once the check  110  is received, the computer  118  captures the MICR line  800 , the front image  812  and the back image  814 . Then the computer  118  parses and analyzes the front image  812  and the back image  814  as well as the check data (e.g.,  802 ,  804 ,  806 ,  810 , etc.) and stores it in the masterfile  128 . Those ordinarily skilled in the art would understand that the masterfile  128  may include just a single check or a plurality of checks of either or both types. 
     As shown in  FIG. 11 , the masterfile  128  may include check records  801  for multiple checks  106  received by the depositor  104 . The processing is accomplished via specialized software which may be installed on the computer  118 . The process of capturing the check data for the masterfile  128  is described in greater detail below. 
     In step  206 , the records  801  of the masterfile  128  are subjected to additional processing to sort each record  801 . In the exemplary embodiment of  FIG. 1 , the processing of the masterfile  128  is accomplished by the computer  118  which has access to the database  114 . 
     In step  206 , the masterfile  128  is processed and sorted in order to separate the non-consumer check records  801   a  into a first subfile  130  and consumer check records  801   b  into a second subfile  132  as shown in  FIG. 11 . According to the present invention, the sorting is done once the records  801  have been created and stored in the masterfile  128 . The computer  118  processes the masterfile  128  to generate the first and second subfiles  130  and  132 . The sorting process is described in greater detail below. 
     After the sorting of the masterfile  128  into the first subfile  130  containing the non-consumer check records  801   a  and the second subfile  132  containing the consumer check records  801   b , the first subfile  130  may be processed pursuant to non-consumer check procedures (e.g., as defined by the U.S. Banking or other applicable rules and regulations) as discussed in step  208  and the second subfile  132  may be submitted for processing pursuant to consumer check procedures as discussed in step  210 . The first and second subfile  130 ,  132  are submitted to an Original Deposit Financial Institution (“ODFI”)  120  or financial institution by the computer  118 . It should be noted that the computer  118  and the ODFI may be owned by the same or separate entities. For example, the ODFI  120  may be a financial institution that is providing the deposit services to the depositor  104 . The ODFI  120  may follow specific procedures in depositing the consumer and non-consumer checks. 
     In step  208 , the computer  118  may process the non-consumer checks by sending the first subfile  130  containing the non-consumer check records  801   a  directly to the depositor&#39;s receiving deposit financial institution (“RDFI”)  126  or financial institution, or a third party&#39;s RDFI. Alternatively, the RDFI  126  may print the non-consumer check records  801   a  stored in the first subfile  130  (e.g., create a substitute check) and manually deposit the substitute check. This process is described in more detail below. 
     In step  210 , the ODFI  120  deposits the consumer checks by transmitting the second subfile  132  to a Clearing Network  122  (e.g., the ACH Network, Federal Reserve Bank, a private clearing house). The Clearing Network  122  settles each transaction by debiting a customer&#39;s RDFI  124  for the amount  810  of the check  110  from the customer&#39;s checking account and by crediting the depositor&#39;s RDFI  126  by the amount  810  to the customer&#39;s  104  account. Those ordinarily skilled in the art would understand that the second subfile  132  may be processed in accordance with procedures for non-consumer checks as described in the step  208 . 
       FIG. 5  shows a method for processing the check  110  to obtain the record  801  and create the masterfile  128  as discussed with reference to step  204  of  FIG. 2 . As stated above the record  801  may include the front image  812 , the back image  814 , the MICR line  800 , as well as the data extracted from the MICR line  800  (e.g., routing number  804 , account number  806 , check number  802 ), the amount  810 , and other miscellaneous data (e.g., the date the check was issued). The record  801  may also include data about the customer (i.e., remaining balance, overdue payment, etc.) extracted from the database  114  if there was a prior dealing between the parties. 
     In step  302 , the computer  118  generates a digitized image of each side of the check  110  to produce the front image  812  and the back image  814 . The front image  812  may contain the date the check  110  was written, the addresses of the customer  102  and customer&#39;s RDFI  124 , and the customer&#39;s signature. The front image  812  also contains the amount  810  and the information concerning the customer&#39;s  102  account encoded in the MICR line  800 . 
     In step  304 , the MICR line  800  of the check  106  is processed and analyzed. The MICR line  800  is located at the bottom of the front image  812  and is typed in MICR font (e.g., E13B, CMC-7). The MICR line  800  may consist of the routing number  804 , the account number  806 , the check number  802 , and other symbols and/or fields. The standardized printing of the MICR line  800  allows the first computer  112  to recognize the numbers and characters contained therein, using a conventional character recognition software along with MICR formats as commonly used by certain banks and/or companies in the host system  102  resulting in easy digitization of the data  816 . After the MICR line  800  is parsed the data is stored in the record  801  along with the front image  812  and the back image  814 . 
     The information contained in the MICR line  800  is essential for processing of the check. Every financial institution in the United States may have one or more unique routing numbers issued in conjunction with the Federal Reserve and/or Acuity, the registrar of routing numbers of the American Bankers Association. While a financial institution may have a multitude of routing numbers, those routing numbers are normally associated with that particular financial institution. The account number is also a unique identification number issued by a financial institution to distinguish between a multitude of account-holders at that financial institution. Furthermore, each check issued from a particular financial institution account may have a check number. A combination of the above-described numbers often makes a check unique, thus allowing the settlement transaction to be carried out in many cases electronically (e.g., without presenting a physical proof of the financial instrument to a financial institution). 
     In addition to analyzing the MICR line  800 , the computer  118  may also analyze the amount  810  (“courtesy amount”) located at the right side of the front image  812 . The computer  118  may use character recognition software to recognize the handwritten amount  810  (“legal amount”), or in some cases printed amount  810 , and store it in a digital format in the record  801 . The character recognition analysis may encounter difficulties in converting the handwritten amount  810 , due to the unique nature of each person&#39;s writing style. Thus, the character recognition software may have a certain accuracy in determining the amount  810  based on the analysis of the handwriting. Therefore, there may also be a manual final verification of the amount  810 . After verification, the amount  810  is also stored in the record  801 . Furthermore, the software may also capture other information to include in the record  801  such as the date of the check and the name and address on the check  110 . 
     After the record  801  is created, the computer  118  may update the database  114  in step  306 . The updating step may include reporting of a discrepancy between the amount  810  in the record  801  and the amount expected by the depositor  104 , the correlation of the customer&#39;s check number  802  to a particular invoice, the verification of the customer&#39;s name and address, etc. In addition, if this is the first check received from a particular customer, the information (e.g., routing number  804 , account number  806 , etc.) for the customer may be added to the database  114 . 
     In step  308 , the masterfile  128  is generated. The masterfile  128  includes records  801  of every check  110  processed by the computer  118 . Thus, the masterfile  128  may include a plurality of data files and image files corresponding to each check which are combined into a single file as shown in  FIG. 11 . 
     As described with reference to  FIG. 4 , after the masterfile  128  is created, it is processed to generate the first and second subfiles  130  and  132  (step  206  of  FIG. 4 ). This step may be performed on a single computer (e.g., the computer  118 ) or a plurality of computers. In this example, the analysis and the sorting process are performed using a sorting software application running on the computer  118 . 
       FIG. 6  shows an exemplary method for sorting checks  110  as described with reference to step  206  of  FIG. 4 . In step  400 , the sorting software analyzes each record  801  contained in the masterfile  128  to determine its category (i.e., a non-consumer check or a consumer check). This analysis may be accomplished in a number of different manners. 
     In one example, the sorting software may analyze a format of the MICR line  800 . Since each category of check generally uses a different format for the MICR line  800  (i.e., positioning and spacing of the routing number, the account number, and the check number). As described above, the exemplary check shown in  FIG. 10  is the general format of a non-consumer check, i.e., MICR line  800  is formatted having the check number  802  at the far left, followed by the routing number  804  and the account number  806 . For consumer checks (not shown), the format is generally the routing number located at the far left followed by the account number and the check number. Thus, by reading the format of the MICR line  800 , the sorting software may determine whether the check is a consumer check or a non-consumer check. 
     In another exemplary embodiment of the present invention, the non-consumer check shown in  FIG. 10  illustrates the use of special characters surrounding the routing number  804  and the check number  802 . Conversely, for consumer checks, the special characters generally surround the routing number and the account number. Thus, by reading the special characters or other proprietary software, the sorting software may be able to determine whether the check is a consumer check or a non-consumer check. Those of ordinary skill in the art will understand that there may be other unique features of consumer checks and/or non-consumer checks that may be used to sort between the two types of checks. 
     Occasionally, a check may have a differently formatted MICR line that deviates from the accepted norms. As a result, the above-described analyses based on the format of the MICR line  800  may be inconclusive and further analysis may be required. However, even if the sorting software concludes that the check  106  is of a particular type, the sorting software may proceed with the further analysis to verify its own conclusion, which may be based on historical information from previous checks processed and retained by the host system  102 . 
     After completing the analysis of the MICR line  800 , the sorting software may compare the routing number  804  and the account number  806  with the information stored in the database  114 . If the customer has previously sent a check to the depositor  104  from the same checking account, then a record of that transaction may be stored in the database  114 . Thus, if there is data of the previous transaction in the database  114 , the data will include information as to whether the account was a consumer account or a non-consumer account. The sorting software may search the database  114  for the routing number  804  and the account number  806  to find a match in the old payment records. If the routing number  804 , the account number  806  of the check  110  match the routing number and the account number of the previous check, then the check  110  originated from the same account, hence its category is the same. Thus, the sorting software may verify its previous conclusion or come to an initial conclusion based on this checking. 
     Another example of a sorting method may use the amount of the check. For instance, the sorting software may utilize the amount  810  to find a matching amount in one of the unpaid invoices. If such an invoice is found, the information about the customer is obtained from the database  114  and the check  110  is categorized accordingly. For example, if the amount  810  is for $701.32 and in the database  114  the invoice for $701.32, then there is a match. After the match is found and the information about the customer is extracted, the sorting software categorizes the check  106  according to the category of the customer. Thus, if the customer is a non-consumer then check  110  is categorized as a non-consumer check. This categorization method only works in certain situations. For example, there is a possibility that the category of the check may not match the category of the customer (e.g., a business owner paying with a consumer check). Furthermore, this sorting algorithm may only work when there is a single invoice that matches the amount  810 . Thus, if there are multiple invoices with that match the amount  810  or none of the invoices match the amount  810 , this analysis is inconclusive. 
     Regardless of whether or not the sorting software provides a definite result, the sorting software may run more sorting algorithms or move to the next step. However, if the sorting software is unable to determine whether the check  110  is consumer or non-consumer, it will conclude its analysis and categorize the check  110  using a default category. The default category may be consumer, non-consumer, or undefined and it may require manual categorization by the user. 
     In step  402 , the sorting software used in the host system  102  determines if the check  110  is consumer or non-consumer based on the analysis described above. If the analysis is inconclusive, the categorization has failed, and in step  406 , the sorting software does not categorize the check  110 . 
     The sorting software may provide information about the check  110  to the depositor  104  and request or require manual adjustment of the check categorization as discussed below in step  408 . If the sorting software was successful in categorizing the check  110 , then, in step  404 , it stores in the record  801  the corresponding category. Regardless of the categorization, in step  408 , the computer  118  may display the results of its analysis on a monitor  500  (e.g., as shown in  FIG. 7 ), other display arrangements or output devices. 
     The monitor  500  may show the categorization of the check  110  if the sorting software was able to determine it in steps  400 - 402 . If it is possible to determine the categorization of the check  110 , then in step  404  the sorting software selects either a “Consumer” field  508  or a “Non-consumer” field  510 . For instance, if the check  110  is a non-consumer check, then the “Non-consumer” field  510  is highlighted. However, if the computer  118  is unable to categorize the check  110  then it will set the categorization to default (e.g., a non-consumer), allowing an operator to select the proper field as explained below in regard to another check record. 
     In the example of  FIG. 7 , the monitor  500  includes a digital check record of a second check which includes an account number  528 , an routing number  526 , a check number  512 , a snippet  514 , and a digital amount  516 . In this case, the digital amount  516  is different from an amount  530  being displayed in the snippet  514 . In addition, the “Consumer” field  518  is highlighted, since the computer  118  failed to categorize the check in step  406  and provided that the “Consumer” field  518  is the default category. The user may correct the digital amount  516  by changing it from $707.01 to reflect the sum of $101.01 shown in the amount  530  (step  410 ). As discussed above, the operator may also manually categorize the check by choosing the check&#39;s categorization based on the information supplied by the snippet  514 . 
     After the check  110  is categorized, either by the user or the sorting software, the record  801  is stored in a corresponding subfile, either the first or second subfile  130  or  132  (step  412 ). The first and second subfiles  130  and  132  are similar to the masterfile  128  since they also contain a collection of records  801 . However, the records  801  within either subfile  130  or  132  are of the same category, either non-consumer or consumer. If the check  110  is a non-consumer check, then it is stored in the first subfile  130 . However, if the check  110  is issued from a consumer bank account, then it is stored in the second subfile  132 . After the first subfile  130  and the second subfile  132  are generated, they are uploaded to the ODFI  120  for further processing. 
     In step  414 , the database  114  is updated with transactional data (e.g., routing numbers, account numbers, contact information, etc.). Regular updates maintain the database  114  so that it may be used during categorization of checks in the future as discussed above. For instance, during the amount-matching sorting algorithm, when the sorting software searches the database  114  for invoices  108 . 
       FIG. 8  shows an exemplary method according to the present invention for depositing non-consumer check records  801   a  stored in the first subfile  130 . In step  600 , the first subfile  130  is sent to the ODFI  120  or financial institution for processing. As previously described, non-consumer checks may not be entered into the Clearing Network  122 . Therefore, in step  602 , the ODFI  120  utilizes different depositing procedures which may require a substitute check for each check from its corresponding check record. A substitute check is created based on a check record, as shown in  FIG. 10 . It displays the front side  812  and the back side  814  and in effect replaces the check  110  (e.g., if the check  110  was issued from a non-consumer account). The substitute check also acts as a legal substitute for the original check. In step  604 , the ODFI  120  sends the substitute check of the check  110  to the depositor&#39;s RDFI  126  or financial institution in order to settle the transaction referenced by the check  110 . Thus, the non-consumer checks are deposited in the same manner as if they were brought physically to the financial institution (e.g., depositor&#39;s RDFI  126 ). 
       FIG. 9  shows a method for depositing consumer check records stored in the second subfile  132  according to the present invention. In step  700 , the ODFI  120  receives the second subfile  132  containing the check records of consumer checks. In step  702 , the ODFI  120  forwards the check records from the second subfile  132  to the Clearing Network  122  in order to settle transactions referenced by the checks whose data is stored in the second subfile  132 . 
     The Clearing Network  122  receives the records stored in the second subfile  132 . The Clearing Network  122  may verify if the transactions in the second subfile  132  complies with various procedures. For instance, the Clearing Network  122  may check for duplicate entries, amount of a check, the number of times a particular check has been presented, etc. Subsequently, the Clearing Network  122  debits the customer&#39;s RDFI  124  to deduct the amount  810  from the account of the customer and that amount is credited to the account of the depositor  104  by the depositor&#39;s RDFI  126 . As stated above, the second subfile  132  may be processed utilizing procedures for the first subfile  130 . 
     It will be apparent to those ordinarily skilled in the art that various modifications and variations can be made in the structure and the methodology of the present invention, without departing from the spirit or scope of the invention. Thus, it is intended that the present invention cover the modifications and variations of this invention provided they come within the scope of the appended claims and their equivalents.