AR HB1405

Financial institutions must submit sample imaged documents or digital media to Arkansas Legislative Audit for approval in one or more formats: CD-ROM or similar tangible digital media, internet access, or paper.

Approved canceled check images must be legible and show both front and back of checks, delivered in the format and quality approved by Arkansas Legislative Audit.

Financial institutions may provide canceled check images through three alternative formats: read-only CD-ROM or digital media, internet access to online banking documents (available for at least 5 years), or paper copies of sufficient clarity and size.

For digital media delivery, financial institutions must perform random verification of legibility and submit verification documentation; for internet access, they may provide read-only access to bank statements, canceled check images, deposit slips, and other financial transaction documentation.

Financial institutions providing paper check images must implement one of five authentication procedures: monthly duplicate copies to Arkansas Legislative Audit, unique identifying marks on images, duplicate copies on digital media, read-only internet access, or another method approved by Arkansas Legislative Audit.