Endpoint Exchange Now in Full Truncation in the 10th District With INTRUST Bank and BancFirst; Check Image Exchange Helps Banks Lower Costs And Leverage Existing Infrastructure

Business Wire, Nov 21, 2002

Business Editors

OKLAHOMA CITY--(BUSINESS WIRE)--Nov. 21, 2002

CheckClear LLC, owner of Endpoint Exchange, the National Check Image Exchange network, announced today it has achieved full electronic truncation in the 10th Federal Reserve District with the installation of the company's image-based check exchange and electronic clearing technology at INTRUST Bank of Wichita, Kansas, and BancFirst of Oklahoma City, positioning the Network for national deployment.

Two of the largest financial institutions in the central region, INTRUST Bank and BancFirst are charter members of the Endpoint Exchange, joining earlier this year through the Central Oklahoma Clearing House Association (COCHA).

"The embracing of image-based check clearing by these two premier financial institutions represents a rather significant step in this region of the country toward complete electronification of paper checks," according to Mark Craig, General Manager of CheckClear, LLC. "Both of these banks are traditionally at the forefront of adopting technologies to benefit their customers and improve the efficiency of their operations."

INTRUST Bank of Wichita, Kansas, is known in the industry as a leading edge financial institution that seeks out innovative opportunities for new technologies in check imaging, fraud prevention, and branch item capture. Joining Endpoint Exchange and participating in truncation and check image exchange for electronic clearing and settlement became the logical next step in INTRUST Bank's efforts to streamline their item processing operations. INTRUST Bank's ability to integrate prime pass image capture with their check image archive solution perfectly positions them to clear and settle their payments through check image exchange. With check images captured remotely, truncation of the paper check at the earliest point of the process can become a reality, with the revenue from the paper check product being maintained and enhanced.

INTRUST Bank was one of the very first banks in the United States to implement a branch item capture solution back in 1997. Branch item capture technology allows INTRUST Bank to image-capture check transactions at the point of origination, positioning them to reap the full benefits of truncation and check image exchange for clearing and settlement through Endpoint Exchange.

Membership in Endpoint Exchange has brought many benefits to INTRUST Bank. Said Jim Simon, VP of Operations at INTRUST Bank, "Being a member of the Endpoint Exchange means that INTRUST Bank and the other Exchange members can truncate the check at the point of deposit, permitting the exchange of images instead of paper checks. It means faster clearing and settlement. It means reduced float, narrowing the window for check fraud. It means we can reduce the transportation infrastructure needed to move paper checks. It means fully exploiting the power and promise of check image capture and archive systems. Endpoint Exchange represents a 'Win-Win' for INTRUST Bank by allowing us to further streamline our operations and provide greater value to our clients."

BancFirst of Oklahoma City is another progressive bank that is balancing the big picture of truncation and check image exchange with bottom line results. BancFirst has been built around delivering their customers efficient, effective service with the best available technology solutions. BancFirst was quick to understand that becoming a member of the Endpoint Exchange would be an easy way to lower their check clearing and settlement costs.

"The Check Clearing For The 21st Century Act (formerly known as "The Check Truncation Act") will encourage industry standards for truncation and check image exchange and accelerate customer acceptance," said Scott Copeland, CIO of BancFirst. "CheckClear's Endpoint Exchange is clearly established as the industry leading network with the processes and technology to help financial institutions mitigate the impact and extract all the new benefits of truncation and check image exchange. CheckClear has the proven integration competency and technical savvy to engineer the industry's move from a paper-check clearing and settlement environment to nationwide electronic check image exchange across all 12 Federal Reserve Districts."

Both INTRUST Bank and BancFirst are members of COCHA, the Central Oklahoma Clearing House Association, dedicated to providing an efficient and cost-effective mechanism for the exchange of deposited items between financial institutions in the 10th Federal Reserve District. COCHA became the first Clearing House to join the Endpoint Exchange in April of 2002, enabling them to electronically clear every eligible item in the 10th District.

"Truncation of checks at the bank of first deposit and the subsequent exchange of check images through the Endpoint National Check Image Exchange greatly increases efficiency, significantly reduces check-handling costs, and allows our member institutions to identify fraudulent checks faster," said Sharon Lewis, Executive Director of COCHA. "We invite all image-enabled financial institutions in the 10th District to contact us about membership in the Endpoint Exchange."