Mellon Financial launches online exception processing system

Mellon Financial Corporation (NYSE: MEL) today announced that it now offers an automated, Web-based exception processing solution through its Working Capital Solutions (WCS) business.

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Developed in conjunction with Wausau Financial Systems, a recognized leader in the development and implementation of financial transaction processing software and hardware solutions, the service is designed to enable Retail Lockbox customers to interactively review and correct exceptions on an intra-day basis so that the transactions can be included in their daily deposit and accounts receivable (AR) transmission. Previously, customers had to wait for the exceptions to be returned and processed through a cumbersome manual process.
Available via iTelecash, Mellon's Web-based information reporting and transaction initiation service, the Web Exception service enables customers to review and decide three key exception types online - accept/reject, account completion and out-of-balance transactions. The service, which also assists customers in their efforts to reduce operational risk, process more exceptions in less time and collect funds faster, is available throughout Mellon WCS' nationwide Retail Lockbox processing system (Atlanta, Boston, Chicago, Dallas, Los Angeles and Pittsburgh).

"Mellon's Web Exception product has enabled us to virtually eliminate lockbox rejects. The application is easy to use, and we value the ability to identify exceptions before they become 'true' rejected items," said Jeff Paradis, manager of premium accounting for Safety Insurance, a Mellon client. "Web Exception is a natural complement to lockbox services and has been very beneficial to Safety, and therefore also our agents and customers."

"In today's consumer payment processing environment, there is increased pressure to achieve greater efficiencies in corporate AR operations. While most back office systems have some level of built-in exception processing and are typically able to identify that an exception has occurred, many of these exception items end up being returned to the corporate customer by overnight courier for research and resolution," said Gregory J. Cicero, senior vice president and Mellon WCS department head. "By applying the same level of automation to their exception transactions as they do for those transactions that pass straight through the settlement pipeline, the Web Exception service will enable our customers to accelerate AR posting, decrease overnight courier expenses, increase productivity and reduce costs and operational risk."

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