What is the process that checks undergo once cashed in a different bank which is not the drawee?

Question

What is the process that checks undergo once cashed in a different bank which is not the drawee?

Answer 1

The cashing bank has a machine that "reads" the check and sorts it by the sorting number (the ABA number) for delivery to the bank on which it is drawn.  Long before the actual checks get delivered back to the bank on which they are drawn, there will be a tally produced electronically to calculate the settlements due and from other banks. Large banks probably settle directly among themselves, but all banks in the US can settle through the Federal Reserve system as a central clearing point.