Printer Friendly

Canadian cheques get a makeover.

The Canadian Payments Association (CPA) recently published new specifications for Canadian cheques as a key element of its modernization of the country's cheque clearing system. Under the new specifications, all cheques used by customers of financial institutions operating in Canada will require some changes.

[ILLUSTRATION OMITTED]

The current clearing process involves about five million cheques being transported between financial institutions every business day. The CPA is leading an industry-wide initiative to make this process more efficient by capturing images of cheques so that they can be cleared electronically. Implementation of the new clearing process should begin in late 2006.

A new version of the Canadian standard for cheque formats and printing specifications has been released in preparation for this change.

"Standardizing key elements of cheques is an integral part of moving to image-based clearing," said CPA president and CEO Guy Legault. "And the benefits aren't limited to the clearing system. Businesses and consumers will see new image-based services that will allow easier account reconciliation, more convenient and efficient record-keeping, and quick access through online banking services to verify cheque details."

All Canadian business cheques should conform with the new specifications as outlined in the standard (CPA Standard 006, Part A) by December 31, 2006.

For more information visit www.cdnpay.ca.
COPYRIGHT 2005 Society of Management Accountants of Canada
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2005 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:New and noteworthy information you can use
Publication:CMA Management
Geographic Code:1CANA
Date:Mar 1, 2005
Words:211
Previous Article:CMA Canada awarded Level 1 certification in organizational excellence by The National Quality Institute.
Next Article:VoIP to hit the desktop by 2006.
Topics:


Related Articles
Digitize this: approximately 5 million cheques are moved between Canadian financial institutions every single day. That's a lot of paper. The...

Terms of use | Privacy policy | Copyright © 2022 Farlex, Inc. | Feedback | For webmasters |