Check Services

Reserve Bank Commercial Check Transportation Costs

Payment mechanisms, such as the Reserve Banks' commercial check service, comprise three distinct components: processing, delivery, and settlement. Each day, Reserve Banks process check deposits they receive from depository institutions, deliver those checks to the banks on which they are drawn, and settle the checks by making appropriate accounting entries.

While some of the checks are delivered electronically to paying banks, most checks are still shipped physically to paying banks. In addition, many checks are physically shipped between Reserve Bank offices. There has been recent interest regarding transportation costs incurred by the Reserve Banks in connection with the provision of their commercial check service. The table below provides annual data on total commercial check transportation costs incurred by the Reserve Banks, including the cost of transportation (both air and ground) between Reserve Banks and depository institutions as well as between Reserve Bank check processing offices.

Annual Data
($ millions)

Data Table | ASCII | PDF (11 KB)