Glossary of Check 21 Acronyms and Terms
The Check Clearing for the 21st Century Act (Check 21) was signed into law on October 28, 2003. Spurred by the
CHECK 21: events of "9-11" the act authorizes the use of a new negotiable instrument called a substitute check. Check 21 provides
the legal framework for the creation of substitute checks which can be used in place of the original paper document,
without an agreement in place with other financial institutions.
ANSI (American National Standards Institute) An organization that establishes agreed upon standard for manufacturers.
AOI (Areas of Interest) Critical areas of a check including courtesy amount, date and signature.
Binary Image Computer stored file image that identifies two shades, black and white with the background dropped off.
CAR (Convenience Amount Rectangle) The area of a check where the numeric dollar amount is shown.
Check File Size The amount of computer file space (in Kb) it takes to store a electronic check image.
Check Image An electronic or digital image of an original check that is created by a bank.
Check Truncation Means to remove an original paper check from the collection process and replace it with an electronic substitute.
Grayscale Image The print image of the original check as scanned by a reader / sorter revealing images in black or shades of gray.
Image readiness The ability to digitally scan a check in its entirety in order to create an exact replication when needed.
IRD (Image Replacement Document) Refers to the substitute check replacing the original.
MICR line (Magnetic ink character recognition) Numbers printed at the bottom of a check in magnetic ink to help identify the check.
OCR (Optical Character Recognition) Electronic scanning equipment that is capable of reading text files.
Padlock symbol A certification mark of the "Check Payment Systems Association" indicating security features.
Paxel Count A "grayscale" image measurement involving groups of pixels that make up a paxel count.
PCS (Print Contrast Signal) A unit of measure that defines the reflectivity of paper base on a scale of 0 to 1.
RDM Image Qualifier A device manufactured by the RDM Corp. that can measure the image quality of documents.
Reflectance Level A "grayscale" image that measures the check background clarity (or clutter) so pertinant information can be scanned.
Substitute check A legal electronic document image of the original paper check.
Other Industry Links:
American Bankers Association: www.aba.com
America's community Bankers www.acbankers.org
Consumer Bankers Association www.cbanet.org
Credit Union National Association www.cuna.org
Federal Reserve Board www.federalreserve.gov/paymentsystems/truncation
Federal Reserve Banks www.frbservices.org/Retail
NACHA-The Electronic Payments Assoc. www.nacha.org
ANSI X9 www.x9.org