According to the Canadian Payments Association (CPA), its new legal framework will soon standardize image exchange between Canadian financial institutions, and make it more efficient for financial institutions to offer Remote Deposit Capture services to their clients over multiple channels.
The CPA is preparing to implement a detailed framework of rules and standards that fully supports the electronic exchange of cheques and other paper payment items between Canada's deposit-taking financial institutions for the purposes of clearing and settlement.
Electronic Clearing Exchange (ECE) is a strong legal framework that marks the final milestone in the CPA's Image Rule Project, a multi-year effort to create opportunities for financial institutions to streamline operations, reduce costs and credit risk, and offer customers a broader range of image-based services. The choice to embrace and offer this new service to customers is proprietary to each institution.
The Association is publicly consulting on the draft ECE framework. "Our core business is the operation of our clearing and settlement systems; infrastructure that is critical to Canada's financial system," explains Ken Casey, CPA's Interim President and CEO. "But we also have a public policy mandate to take into account the needs of users."
Comments on the draft framework are welcomed until March 16, 2013.