MICR tutorial

What is MICR?

A brief overview of the MICR printing process and its history.

Magnetic Ink Character Recognition is a method of printing with magnetic ink and special typefaces, to create documents that can be read and processed by machines. The most common use is to print accounting and routing information on checks and other negotiable documents. But MICR can be adapted for use in any type of document processing, including coupons and rebate checks.

It was once possible to process checks manually. However, by the mid 1940s the banking system was inundated with paper as society grew more mobile and affluent. Finding a means of handling the growing number of paper documents became vital to bankers.

In the mid 1950s, the first automated process for handling the processing of checks was initiated. the banking and electronics industries searched for a standard process that could be used in all banks throughout the country.

The system now known as MICR was created during the 1950s by Stanford Research Institute, in response to increased demand by the banking industry for a streamlined method of processing checks. The typeface, or font, that they developed (called E-13B) was chosen for its superior recognizability by machines. Their specifications for producing the E-13B font were accepted as the standard by the American Bankers Association (ABA) in 1958. By the end of 1959, the first checks using magnetic ink were successfully produced; in 1963, the American National Standards Institute (ANSI) accepted the ABA specifications as the American standard for MICR printing.

Today, compliance with ANSI standards is voluntary; however, the U.S. banking industry considers them the definitive basis for judging the quality of a MICR document. A number of other countries have also adopted ANSI standards, with some slight variations. They include Canada, Columbia, Australia, Japan, Venezuela, and the U.K. A similar system that uses a different font is used by Brazil and many European countries. Documents created using one system cannot be processed by machines using the other.

MICR is not just another way of printing, it is a process that requires in-depth knowledge and understanding of MICR technology and document production. Burton MICR System Solutions is an active member of the ANSI X9.B committee, which continues to revise and establish the standards for the MICR desktop printing industry. We maintain experienced personnel to deal with the exacting demands of the MICR environment, so you don't have to.

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