Update: As far as availability, PayPal tells us, "Mobile Check Capture is currently available in the US only. The underlying technology that makes this possible is based on legislation passed by US Congress in 2004 as a result of the 9/11 attacks. The legislation, called "Check Clearing for the 21st Century," or "Check 21," gives US financial institutions the opportunity to clear checks using imaging technology rather than transporting the paper itself. We use technology provided by Bankserv to make this possible for our US customers. We are always on the lookout for ways to improve our customers" experience in all 190 markets in which we operate and decided to implement this great new service in the US. If the legislation changes in other countries, we will look to offer the same service in those countries."
Original Article: The feature has been rumored to be coming for a while, but PayPal announced today that the latest version of its iPhone app lets you transfer checks into your PayPal balance for free, by simply taking a photo with your iPhone.
"The introduction of Mobile Check Capture marks the third significant features update for the iPhone 2.7 app, reinforcing PayPal's commitment to providing consumers with an on-demand digital wallet," a spokesperson for the company tells WebProNews.
Some banks have already been utilizing similar technology, but it's interesting to see it coming from PayPal, and could lead to a lot of people simply setting up PayPal accounts rather than checking accounts or savings accounts, simply for the convenience factor.
"We all agree that the future of money is digital, so it's hard to believe that there are people and businesses in the U.S. still using an analog technology that's 400 years old – yes, I’m talking about checks," says
senior director of PayPal Mobile, Laura Chambers. "Have you ever been handed a check and thought about when you'll have a chance to get to the bank to deposit it? I've carried checks around for months before finally making the time to run to the bank or ATM to deposit them. That’s all about to change."
PayPal uses BankServ
, a money transfer and payments technology company for its mobile check capture feature.
Will you use this feature? Let us know.