Press release - January 02, 2004

For Immediate Release

‘Bounced’ Checks Waste $Millions

Summary: January 02, 2004 Keene, NH – Last Echo utilizes efficient electronic system to process NSF Checks, helping businesses reduce costs and cut waste.

Released by:
 

According to a 2001 study conducted by the Federal Reserve Board, checks are the most frequently used method of payment in the United States (other than cash). In 2000, 17 billion checks were written – accounting for 59% of all non-cash payments made. The study goes on to report that approximately 176 million checks were returned because an account had been closed, funds in the payer’s account were insufficient, or for some other reason. These are generally referred to as NSF Checks (Non-Sufficient Funds). The American Collectors Association, Inc. estimates that in the year 2000, 85 billion checks were processed and 731 million bounced.

An informal study conducted by Last Echo, LLC, found that, on average, merchants spend over one hour per check collecting on NSF Checks. “Without the efficiency of electronic processing, we’re wasting over 176 million man hours of labor per year,” says Matt Zakrzewski, company President. “That figures out to be over 670 thousand hours per working day or the equivalent of 85,000 people standing around for 8 hours a day. At $10 per labor hour, we’re talking about throwing away 6.7 million dollars a day. Do you want to be the one that pays for that?”

Mr. Zakrzewski went on to say, “Of these NSF checks, merchants typically report only a 60% recovery rate. So if a merchant receives just 4 NSF checks per month, in one year he or she is spending over 1 week of labor for a 60% return. I’ll be blunt. We’re here to help with that. By letting us process their NSF checks, instead of wasting valuable time chasing down bad checks, merchants can focus on what they do best – making their business profitable.”

About Last Echo

Established in 2003, Last Echo uses innovative technology to simplify and improve the recovery process on returned checks. The widely used system helps businesses nationwide increase their collections on returned checks, while lowering associated transaction fees. Electronic check collection is non-intrusive for the customer and eliminates the need for the check writer to become involved in the restitution.

Our mission is to increase your profitability by reducing non-productive overhead. The service is completely free.

For additional information, please visit www.LastEcho.com or call 888.277.3027.

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