how did banks clear checks and get funds from other banks before computerization?
In: 6540
I worked in SF in the 60’s. Every night banks would transfer their deposited checks with each other banks. Bof A would physically transfer Wells Fargo checks back to Wells and WellsFargo would physically send the BofA checks back to BofA. All the banks would transfer total $$ amounts electronically (60’s tech) The next morning workers would get trays full of cancelled checks and they would sort and file the checks into huge rotating file bins with your other checks. At the end of the month the bank would send back your monthly cashed checks with your statement via USPS. Crazy amounts of handled paperwork. I once handled a machine that sorted the statement and checks into envelopes for USPS mailing. (It always jammed.) Early credit card statements were handled the same way with the customer getting back their signed credit card slips with a billing total.
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