CheckFree And Hyland Software Offer End-To-End Solution Enabling Payee Verification Fraud Protection And Exception Management With Check Images

CheckFree Software, a division of CheckFree Corporation (NASDAQ: CKFR), and Hyland Software, Inc., developer of the OnBase enterprise content management (ECM) software suite, today announced the expansion of their existing partnership to provide CheckFree ARP/SMSTM customers with a comprehensive solution for payee enabled positive pay for fraud protection capabilities.

Check fraud is at an all-time high with losses to financial institutions in the millions of dollars. For this reason, CheckFree and Hyland developed an end-to-end, integrated solution, combining the power of the CheckFree Payee Verification Module's payee positive pay processing engine with the imaging and workflow capabilities of Hyland Software. This combined solution includes state-of-the-art payee capture methods and image-enabled exception management from Hyland Software, coupled with CheckFree Software's integrated, real-time Payee Verification and reconciliation platform.

"CheckFree continually looks to help its banking customers improve service levels, address corporate market needs, strengthen relationships, streamline operations and minimize operational and financial risk for their clients," said Randy McCoy, executive vice president and general manager, CheckFree Software. "As a trusted technology partner, CheckFree also helps its financial institution customers prepare for new industry initiatives by expanding the value of a customer's existing ARP/SMS investment."

Payee Verification for ARP/SMS begins with matching payee line information from an image to the information on the issue file. If a mismatch or potential fraudulent item is detected, this item, along with other positive pay exceptions, will be forwarded to corporate clients for evaluation and a payment decision. The Exceptions Management module from Hyland Software can be leveraged for the CheckFree Payee Verification solution to manage payee mismatches, as well as all other exception types. The payee matching process has been completely integrated with all ARP/SMS modules including positive pay, reconciliation and teller positive pay, which provides value through fraud detection services to corporate clients and without making substantial system integration changes.

"The societal costs of check fraud and counterfeiting in the United States reach well over $10 billion a year - a conservative estimate. Banks have no choice - they must be more proactive in assisting customers with check fraud by providing enhanced risk mitigation solutions, yet neither banks nor companies want to reinvent infrastructure," said Maggie Scarborough, Research Manager, Banking Practice at Financial Insights, an IDC Company. "The CheckFree ARP/SMS platform with its Payee Verification module combined with Hyland's image capture and workflow capabilities - gives banks the right technology blend to help companies manage payee-related fraud exceptions earlier in the process."

Hyland adds further value to the solution by providing a self-configuration capture tool that automatically detects the exact coordinates of the payee line, eliminating any account level setup. The payee capture process requires no changes to a company's existing check stock and has no font or check format restrictions.

"Hyland's imaging and workflow capabilities provide significant additional value to the CheckFree ARP/SMS solution while allowing banks to leverage their existing check image archives," said Brenda Kirk, Financial Services Industry director at Hyland Software. "This completely integrated solution offers a state-of-the-art Payee Verification module that automates the payee capture process with virtually no impact to corporate customers or bank operations staff. The Exceptions Management module significantly improves service levels and increases productivity, while also lowering unit costs."

About Hyland Software
Hyland Software, established in 1991, is a leading provider of rapidly deployable enterprise content management solutions. Hyland develops OnBase, enterprise-class software that combines integrated document management, business process management and records management in a single web-enabled application. OnBase manages virtually every kind of document (images, reports, statements, application files, web pages, HTML forms, video, etc.) as well as every stage of the document lifecycle (creation/input, storage, retrieval, revision, distribution and publishing), and seamlessly integrates with hundreds of line-of-business applications. OnBase is used by thousands of commercial organizations and government agencies to streamline operations, reduce costs and share information with employees, partners and customers.

As a customer-driven organization committed to providing world-class service and support, Hyland is dedicated to developing ECM solutions that are deployable at both the departmental and enterprise levels. Headquartered in Cleveland, Ohio, Hyland has offices located in North America, Latin America, Europe and Japan. Visit www.onbase.com for more information.

About CheckFree (www.checkfreecorp.com)
Founded in 1981, CheckFree Corporation (NASDAQ: CKFR) provides financial electronic commerce services and products to organizations around the world. CheckFree Electronic Commerce solutions enable thousands of financial services providers and billers to offer their customers the convenience of receiving and paying their household bills online or in person through retail outlets. CheckFree Investment Services provides a broad range of investment management solutions and outsourced services to thousands of financial services organizations, which manage more than $1 trillion in assets. CheckFree Software develops, markets and supports software applications that are used by financial institutions to process more than two-thirds of the 10 billion Automated Clearing House transactions in the United States. The division also provides reconciliation, financial messaging, compliance and electronic billing and statement software to hundreds of organizations across the globe.