A check mailing API in FinTech is a way to automate check generation, printing, and delivery. It integrates seamlessly with accounting software or ERP to help create a centralized workflow without risky data transfers.

An automated check mailing solution is integral to the smooth functioning of financial institutions. Financial leaders can easily issue recurring checks or make on-demand payments. It also helps eliminate manual errors and reduces staff overhead. 

In this guide, let’s explore why businesses prefer PostGrid’s highly regulated Print & Mail API. Additionally, let’s decode how its API securely handles MICR check printing, postage, as well as courier delivery. 

TL;DR

• Financial institutions still depend on physical checks for vendor settlements and B2B payments. 
• Switching to automated check mailing workflows is a highly productive and cost-effective decision.
• Staff members no longer need to invest in check stock paper, print them manually, and send checks traditionally.
• Check API tracking and automation can easily resolve issues like printing errors, wrong addresses, and lost checks.

Key Takeaways

• Check mailing API in FinTech handles all repetitive tasks, namely printing, stamping, and mail hand-off to postal carriers. 
• Common reasons for check rejections include MICR line misprints, mismatched amounts, and stale or future dates.
• An ideal check API offers unlimited volume capabilities, as well as multiple printing partners and carriers.
• FinTech firms must opt for an automated mailing solution that meets regulatory and compliance standards to safeguard PII data.

A check mailing API is a print-and-mail solution that enables check printing and handoff to postal carriers. A fintech company can issue a single API request or bulk requests. A check API is protected by encryption, strong authentication, and strict data handling rules to meet regulatory standards.​  

Core Functions of Check Mailing API

• Creates an individual check whenever an HTTP POST request is placed
• Capable of handling bulk printing via API request or CSV file uploads 
• Option to customize checks by adding company logos or specific design elements
• Automatically cross-references recipient addresses against the postal database
• Uses specialized MICR fonts and tamper-free paper stock to print checks
• Provides real-time alerts to your application backend when checks move 
• Offers multiple shipping options like standard, express, or international carriers
• Digitally stores all the checks printed and processed for audit logs 

Why FinTech Platforms Use Check APIs 

Using a check mailing API in FinTech can prevent fraud and is highly cost-efficient for teams. 

• It reduces the reliance on manual workflows that are prone to error
• Safeguards sensitive customer data at every stage of the process
• Frees up team members so that they focus on critical tasks
• It also allows teams to scale without any operational delays
• Teams can track checks in real-time and view historic data to measure performance
• It helps improve overall customer communication and cash flow management 
• Finally, it helps maintain detailed logs for every check for compliance audits

PostGrid replaces the traditional mailroom and its consequent inefficiencies with an efficient, seamless workflow. Here’s how the PostGrid check mailing API in FinTech works: 

Sign Up 

The first step in the process is to set up your account with PostGrid. Its developer-friendly API infrastructure can integrate natively with any CRM, accounting software, or ERP software. Teams can choose custom integrations to connect with any proprietary software.  

Trigger the API Call 

Once the integration is complete, you use the check mailing API in FinTech within your workflow. You can send an HTTP POST request to the PostGrid API. The request must contain the payee name, address, bank account details, and check amount so that a check can be printed. 

Automated Address Verification

With PostGrid, you can verify the recipient’s mailing address against USPS postal databases. It removes all outdated addresses or duplicates. This feature safeguards sensitive PII by preventing undelivered or misdelivered mail. Additionally, you can save money by not printing undeliverable checks.

Bank-Grade MICR Printing 

All checks are georouted to a secure and compliant printing facility. All the facilities in PostGrid's network ensure that the check is printed on tamper-proof paper stock using magnetic (MICR) toner.

Carrier Handoff 

Once the check is printed and sealed into a secure envelope, it is handed off to a local postal courier. Teams can choose a standard option or opt for the USPS Express Check mailing option. This flexibility enables them to meet deadlines as well as stay within their budget. 

Real-Time Tracking & Confirmation 

With PostGrid, teams can access live tracking updates via webhooks as well as through the centralized dashboard. They get detailed logs with specific dates and times. For instance, they get time-stamped reports on when the check is accepted, processed, and finally delivered to the payee.
💡Also Read: Check Mailing Service

Magnetic Ink Character Recognition, or MICR, is a unique identifier code used by the global banking industry to distinguish checks. In other words, it is the set of numbers and characters printed at the bottom of every check. These numbers are a combination of the routing transit number, account number, and check number.

Why Banks Reject Checks That Fail MICR Specs

A MICR line code must be printed with a special ink and a standardized font so that scanners can process it. The magnetic ink strip is scanned by banks and clearinghouses to approve payments. Without its proper usage, your check may be rejected. 

Here are the four common technical errors that lead to check rejections: 

• Using a standard ink or toner to print checks without magnetic iron oxide
• Not using specialized fonts like E-13B (for U.S. & UK) or CMC-7 (for Europe)
• Placing the coded number incorrectly and not in its strictly defined space
• Using poor quality paper that may jam or tear during high-speed sorting

PostGrid adheres to the strict check printing standards and ensures that every check is printed in accordance with them. 

1. MICR Toner: All printer facilities use genuine and certified MICR toner to print checks so that they can be scanned easily.
2. Tamper-Proof Check Stock: Every check is printed on high-quality 52 to 70 lb stock and enclosed in a #10 double-window envelope.
3. Flexible Customization: Checks can be printed with customized brand logos without disrupting the natural flow of the check. 
4. Zero Minimums: It can handle low-volume and high-volume orders with ease and without any minimum order restrictions.

Apart from ensuring MICR check printing, PostGrid's check mailing API in FinTech completes the lifecycle by handling postage, courier delivery hand-off, and check mailing tracking. 

Express Mailing Options

Financial teams can define the mailing class in their API call. For time-sensitive checks or letters, PostGrid offers USPS express check mailing options. By selecting this option, users can use speedy carriers like USPS Priority Mail or Priority Mail Express to expedite delivery within 1 to 3 business days. Additionally, you can opt for special add-on services like Certified Mail and Registered Mail.

2-Day SLA Fulfillment Guarantee

PostGrid ensures that all print and mail requests are processed within 2 business days of the order creation date. This guarantee brings accountability and transparency in the process. Moreover, it ensures that there are no delays in the printing process and every check is enveloped and sent off to the postal carrier.

Real-Time Carrier Tracking & Webhook Architecture

The check mailing tracking fintech option helps teams track the mail journey in real-time. 

This can be accomplished by PostGrid’s webhook infrastructure. It notifies senders of every mail movement throughout the postal journey. Additionally, users have access to real-time carrier tracking through the dashboard and can use the chain of custody for compliance audits.
💡Also Read: Send Checks by Mail

Address Verification Before Print

The information found on a pre-printed check is called personally identifiable information or PII. It includes information like account numbers, bank routing numbers, and signatures. This financial information can be compromised if it's accidentally sent to an old or incorrect address. Which is why companies need PostGrid’s CASS-certified address verification. 

It verifies, autocompletes, and standardizes every mailing address before it is ever printed. It checks the validity of every address against USPS databases to ensure deliverability. The platform also uses NCOA processing to flag any old addresses in case a customer has moved recently. Every address is assigned a deliverability score, which helps internal financial teams determine whether to send a highly sensitive PII like a check. 

Webhooks and IMb Tracking for Check Mailing 

Tracking checks in real-time allows teams to stay on track and keep their customers informed. Unlike manual workflows, PostGrid’s check mailing API in FinTech provides this level of transparency. It helps them track the check as it moves through the postal network. Teams do not have to follow up manually with postal services or check individual shipping websites for updates. 

Every check can be traced with IMb tracking in real-time. Teams can easily see when a check leaves the central hub for delivery. All the information is available through a centralized dashboard. Another feature of PostGrid’s check API tracking is webhooks. By setting up a webhook notification, teams can receive an update on when the check was processed and, finally, when it was delivered. 

Cost-Effective Print Network

Time-saving and cost efficiency are the hallmarks of a reliable digital check mailing platform. By integrating a vast print network across countries, PostGrid seamlessly achieves this goal by automatically rerouting print jobs based on the geographic location of each recipient. This is an important feature because it allows companies to save extra money spent on transit and shipping costs. 

Rather than sending all print jobs to a centralized location, PostGrid sends them to the printer closest to your recipient. For instance, if your recipient is in New York, then PostGrid will send the check printing task to a local vendor in New York. As a result, your company can reduce shipping time and costs and satisfy its customers faster and more efficiently. 

Multiple Accounts Set-Up

FinTech companies hold multiple bank accounts for operational ease as well as risk management. They use each for a special purpose. PostGrid’s robust check API offers this function. It helps teams link all their funding sources to produce customized checks on time. In other words, a financial company can add multiple bank accounts.

With this feature, teams do not have to worry about switching between portals. All the payments can be centralized and tracked in real-time through one digital check mailing platform. They can easily select the bank, add their details, and print the check instantly. 

Compliance and Audit Trail Requirements 

Adhering to compliance frameworks and providing a chain of custody is paramount for any check mailing API in FinTech workflows, especially as financial companies handle sensitive data protected by federal, state, and local laws. 

PostGrid’s Print & Mail workflows are regulated and compliant. They adhere to PIPEDA, SOC 2 TYPE 2, and GDPR. Its infrastructure is routinely audited by third-party vendors to ensure compliance. To maintain accountability and transparency, it provides detailed audit logs. It ensures that all actions are recorded in real-time for every past and present order.
💡Also Read: Check Mailers

PostGrid offers a scalable, robust check mailing API. By automating the entire check printing lifecycle, teams are free to focus on customer-facing tasks. With a check mailing API in FinTech, you can print and mail checks as easily as sending an email. The software is built to scale and capable of handling recurring high-volume checks without any operational delays. 

Additionally, PostGrid can handle time-sensitive checks too. It offers multiple express shipping options and a 2-day SLA guarantee. Moreover, it uses a specialized georouting mechanism where every print job is redirected to the nearest vendor to the recipient. Thereby saving time, effort, and money for companies. 

Sign up now to automate your high-volume check operations.