U.S. Bancorp To Overhaul Payments

U.S. Bancorp has hired Unisys to provide advice on architecture design, image delivery, workflow, revenue generation and related issues. Unisys also will conduct due diligence on vendor selection and negotiations, and evaluate current and future payments systems for the bank, among other responsibilities.

The consulting assignment will result in a complete re-engineering of $174 billion U.S. Bancorp's payment operations that will maximize operational efficiencies and enhance customer service. Benefits include more cost-effective processing for paper-based payments, the availability of electronic check images and associated payment information on demand, and reduced fraud risks through expedited clearing and settlement of payments between banks.

"We are looking to redefine the payment experience within the bank. Our customers will benefit from new products and services made possible by implementing image technology within our item processing operation," according to Tom Rea, executive VP of transaction processing services at Minneapolis-based U.S. Bancorp. "We selected Unisys because of its superior experience in financial services, as well as the true partnership approach of its team to work closely with us to achieve our goals."

U.S. Bancorp is looking to transform payment operations to meet challenges created by changing technology and consumer demands. Current issues include overall decline of paper check volumes; increase in popularity of e-services, such as electronic bill presentment and payment; impact of the Check Act for the 21st Century (pending legislation to allow digital images in check truncation); and new digital image-clearing exchange agreements among individual banks to clear and settle payments.