Check management

For check management, Cross River offers both check writing (withdrawals) and check deposits using Mobile Deposit Capture (MDC). Cross River works with lockbox service providers to process paper check deposits.

By default, all Cross River partners have checks blocked (turned off) for their products. This means a customer can order checks using a third party, and issue a check, but that check will automatically be rejected by Cross River when presented by the Federal Reserve for payment. You can request that CR enable checks per product or even per specific account. If you want to offer checking to your customers on an individual basis, you can keep checks blocked for the product and have CR enable you to have each customer opt in individually, after which you perform a fraud review on the customer.

In Cross River, checks have two different flows:

  • Deposit. In the deposit flow, you deposit a check into your CR account. In CR this is referred to as an outbound forward item because the check needs to be sent (out) to the Federal Reserve and presented to the drawee bank (paying bank) for payment.

  • Withdrawal. In the withdrawal flow, you write a check on your CR account to pay someone. In CR this is referred to as an inbound forward item because the Federal Reserve sends the check (in) to CR for payment and attempts to clear the check on your account. Your check clears when the transfer of funds succeeds.

In addition, whether deposited or used as a payment, a check might be returned for a number of reasons.

  • A returned check presented to CR by the Federal Reserve is considered an inbound return.

  • A check returned by CR is considered an outbound return