 Re-Presented Check (RCK) is an ACH function that allows a business to resubmit dishonored checks through the ACH network for faster collection than the
traditional method of mailing certified letters to bad check writers. Mailing certified letters can easily take 21-30 days before a customer is
notified that their check has been dishonored. In addition to extended time, the cost of collection is high due to the cost of certified postage
and preparation time.
ChexDirect has developed two methods of RCK collection that allows a business to choose which works best for their environment.
METHOD I
Dishonored checks are sent back to the business from the bank just like normal. However, when the business receives the check instead of writing
a certified letter, the information for that check is entered into the ACH software for collection. If the business chooses and has complied with
the RCK notification rules, a returned check fee may be added. Collection of the check can be accelerated to 2-3 days instead of the usual 21-30 days.
When collected, ACH RCK collections are posted directly to the business’ bank account. Full reports are available to the business for all transactions
posted through the ACH software.
RCK NOTIFICATION RULES
METHOD II
Dishonored checks are sent from the business’ bank directly to ChexDirect for posting and collection through the ACH software. On the day the checks
arrive in the ChexDirect offices, they are posted in the business’ daily reports. The business’ bank account is credited and noted in the reports when
ACH RCK collection has been successful. If the check can not be collected via ACH RCK collection, then the check is collected in the traditional manner
beginning with certified letters and ending with prosecution if necessary.
RCK collection is a clean and cost effective solution for business establishments that need to collect returned checks faster and with lower labor
costs. RCK collection allows the business to take control of their collections without relying on an outside collection agency. Fast, accurate, and
effective collection methods produce higher collection rates for any business.
To learn more about RCK collection, contact us to find the ChexDirect representative nearest you.
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