TROY Group MICR Basics Handbook - Manual (Page 6)

Section 1 Understanding MICR
MICR Basics Handbook -- Document #50-70300-001 Rev. C
1-2
Specially designed E-13B or CMC-7 fonts are used for magnetically reading financial documents. The
following table lists the countries currently using E-13B or CMC-7:
E-13B CMC-7
United States of America France
Canada Spain
Australia Israel
United Kingdom
Other Mediterranean Countries
Japan South America (except Colombia)
India
Mexico
Colombia
Turkey
Within the next few years, most of the economically developed/developing countries will have installed
or will be installing MICR processing systems. As for MICR printing, no other financial processing
system of the electronic age is so widely recognized for its reliability, durability, and economic feasibility.
No other payment transfer system is so broadly accepted by the business community and general public.
International MICR Standards
This TROY MICR Basics Handbook provides details for MICR specifications and guidelines that apply
to the United States. For information on International MICR specifications and guidelines, refer to the
ISO-1004 standards document.
How MICR Works
The E-13B information needed by clearing houses and banks is printed in magnetic ink near the bottom of
the document. After printing, the documents are then processed mechanically and electronically through
a reader-sorter machine. This machine magnetically reads pertinent information about the check,
including the amount of the check, account number, institution upon which the check was drawn and
other miscellaneous transaction codes.
During the clearing process, the E-13B characters are read several times, at extremely high speeds (less
than 1/1000th-of-a-second per character). Therefore, for MICR to work successfully, the MICR
characters must be accurately printed on a document according to precise specifications.
The MICR Check
This section provides information about the design and printing of MICR checks. A typical business
check is shown below in Figure 1-1.
Figure 1-1: Typical MICR Check