Independent lockbox and electronic payments provider CheckAlt has acquired software and engineering company U.S. Dataworks from The Bankers Bank of Oklahoma. Terms of the deal were not immediately available.
CheckAlt CEO and co-chairman Shai Stern put the purchase in the context of upcoming challenges related to the COVID-19 pandemic and the 2020 election. “Recognizing that the U.S. Postal Service is going to be overwhelmed and distracted with mail-in voting and other impediments to normal delivery, we must enable additional solutions for our clients to capture payments on-site, remotely, or through any one of our 13 lockbox processing centers around the country,” Stern said.
“Moreover, between the hundreds of financial institutions that both CheckAlt and U.S. Dataworks serve directly, we now have further reach to offer our full suite of payment solutions which include not only paper processing but as well our Catch! product and card processing services.”
With more than 300 financial institution partners, CheckAlt offers financial institutions and commercial clients a range of lockbox and payment processing solutions. These include a full set of check imaging products that provide consolidated item processing across all channels and points of capture: mobile, ATM, and in-branch. The company also offers standard payment processing solutions and services such as credit card processing, integrated receivables, and merchant RDC.
The U.S. Dataworks acquisition marks CheckAlt’s third in six years. The company bought ERAS, a security systems provider, in 2014, and acquired financial services provider Klik Technologies, two years later. CheckAlt’s acquisition announcement comes at the end of a busy summer for the Los Angeles, California-based company. CheckAlt announced an expansion of its partnership with Pawtucket Credit Union ($2 billion in assets) in June, teamed up with Five Star Bank of California ($2 billion in assets) in July, and collaborated with NXTsoft’s OmniConnect to enhance its ability to integrate with credit unions, core providers, and banks.
Founded in 2004, CheckAlt made its Finovate debut last year at FinovateFall. The company demonstrated its LoanPay solution, which enables financial institutions to accept a wide variety of loan payments – from auto and business to mortgage and personal – from their customers. The solution enables customers to use debit, credit, and checking accounts to make both one-time and recurring payments in person, via mobile, or online.