Yodlee today announced another pioneering payments development with the unveiling of the Yodlee PostcardCheck, aimed at increasing efficiency and lowering the significant costs associated with paper payments in online bill pay.
Nearly two of every ten payments originated online in the U.S. are still processed via paper check. Financial institutions offering online bill pay to their consumers incur per item costs of a single paper payment up to ten times higher than comparable electronic payments. Paper payments are by far the most costly component of any online bill pay system. Yodlee has built a new, proprietary PostcardCheck solution that helps financial institutions immediately lower the cost of single check payments by up to 30%.
"There hasn't been any real innovation in paper check payments in a long time," said Peter Hazlehurst, SVP Product Development at Yodlee. "With Yodlee PostcardCheck, we're further extending our track record of innovation in the payments industry by delivering a solution for single check payments that dramatically reduces expenses and at the same time increases processing efficiency. We estimate that by leveraging streamlined processing methodologies, distributed printing capabilities and reduced postal rates associated with Yodlee PostcardCheck, most financial institutions can save up to 30% per payment. In a tough economy, a 30% cost reduction is a significant improvement that all institutions should investigate. Extensive testing of the new proprietary check format indicates that these savings can be obtained without any increase in the returns or rejections typically associated with paper payments in general."
Yodlee PostcardCheck is designed for rapid deployment and is available for integration with any existing online bill pay solution, or as an included feature of the Yodlee BillPay suite of solutions, including Yodlee PayItAll (a complete, pay anyone solution) and revenue-generating Yodlee DirectPay (interchange generating card based payments) and Yodlee PayToday (fee-based, guaranteed same day payments) online bill pay solutions.
"When you add it all up, Yodlee is unique in combining cost saving and revenue generating bill pay innovations that can help any financial institution transform online bill pay from a pure cost center into an efficient, revenue generating tool," said Hazlehurst.
Key Features of Yodlee PostcardCheck:
- Dramatically reduced single check processing costs -- up to 30% in most cases
- Distributed printing capabilities for streamlined processing and delivery
- Proprietary check format designed to reduce errors and rejections
- Rapid deployment and seamless integration with any existing online bill pay solution