What technology was introduced in the 1960s for processing checks?

Magnetic Ink Character Recognition (MICR) was introduced in the 1960s as a significant technology for processing checks. MICR uses a special ink that contains magnetic properties, allowing for the automatic reading of numbers printed on checks. This technology enables machines to quickly and accurately capture data such as account and check numbers, which streamlines the processing and clearing of checks, reducing manual entry errors and improving processing efficiency.

This technology laid the groundwork for the automation of check processing in the banking industry, facilitating the rapid movement of paper checks through clearing houses. The implementation of MICR technology was groundbreaking during that era, as it allowed institutions to enhance the speed and accuracy of financial transactions.

Other technologies mentioned, such as Electronic Funds Transfer (EFT) and Automated Clearing House (ACH), evolved later and focus on different aspects of electronic payments and fund transfers rather than the physical processing of checks. Digital Signature Verification, while important for security, pertains to authentication rather than check processing. Thus, MICR remains the correct choice for the specific context of check processing introduced in the 1960s.