ECHO Press Releases

FOR IMMEDIATE RELEASE

ELECTRONIC CLEARING HOUSE, Inc. (ECHO) Announces Launch of MerchantAmerica Agent Bank Program

Agoura Hills, Calif., June 18, 2003 - Electronic Clearing House, Inc. (Nasdaq: ECHO), a leading provider of electronic payment and transaction processing services, today announced the official launch of a new total payment processing system aimed at the country's independent and community bank sector. 

The MerchantAmerica (MA) Agent Bank program is a total payment processing solution encompassing all major transaction types such as payment card processing, electronic check conversion, check risk management services and ACH payment services. MA is combined with full Internet functionality allowing merchants' access to customized websites, the ability to sell goods online and receive sophisticated online transaction reports. The Agent Bank program enables smaller banks to provide a full range of services more often associated with the major national banks. 

The Agent Bank program allows participating banks to significantly deepen existing merchant relationships by offering them a complete turnkey solution that removes the necessity for the client to go outside the primary banking source for payment-related services. Unlike other payment processing options, banks are able to set their own rates, thus allowing institutions to reward long-standing merchant customers with preferential rates. And another major advantage for the banks is that, although they own 100% of the merchant portfolio, ECHO assumes all transaction risk. 

In addition to acting as a vital relationship-building tool, the Agent Bank program opens up opportunities for multiple recurring revenue streams for participating banks through electronic and paper check services, credit and debit cards, and collection services. The program involves minimal set-up time and provides extensive staff training and a full 24/7 customer support team. 

"I strongly believe that the Agent Bank program offers a range of options to the small-to-mid-size community banking sector that is unique in the field," said Joel M. Barry, Chairman and CEO of ECHO. "No other program offers such a comprehensive range of services with total operational transparency. We are convinced that this is a good marketing opportunity for our banking customers and a value-added service for the merchants." 

The program has already been extensively beta-tested and is in full operation in a variety of banks in the Western States. One of the earliest adopters of the Agent Bank program has been the Great Basin Bank of Nevada. Controller Jean Sloan is enthusiastic about the program. "This is a program that takes little effort on our part and is generating a growing stream of fee income," said Sloan. "We have a free hand in establishing a fair pricing schedule for participating merchants and we can reward long-standing merchant customers with preferential rates." 

For further information on the MerchantAmerica Agent Bank program, please visit ECHO's website at www.echo-inc.com. For an online tour of the MerchantAmerica program, please visit www.MerchantAmerica.com. 

About Electronic Clearing House, Inc. (ECHO)

Electronic Clearing House, Inc. (www.echo-inc.com) provides a complete solution to the payment processing needs of merchants, banks and collection agencies. ECHO's services include debit and credit card processing, check guarantee, check verification, check conversion, check re-presentment, check collection, and inventory tracking. 

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Any statements set forth above that are not historical facts re forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Potential risks and uncertainties include, but are not limited to, such factors as fluctuations in demand for the Company’s products and services, the introduction of new products and services, the Company’s ability to maintain customer and strategic business relationships, technological advancements, impact of competitive products and services and pricing, growth in targeted markets, the adequacy of the Company’s liquidity and financial strength to support its growth, and other information detailed from time to time in the Company’s filings with the United States Securities and Exchange Commission.

Investor Contacts:

Donna Rehman, Corporate Secretary 
Electronic Clearing House, Inc.
818-706-8999, ext. 3033 
Agoura Hills, Calif. 
E-MAIL: corp@ECHO-inc.com
URL: http://www.ECHO-inc.com

Crocker Coulson, Partner
Coffin Communications Group
818-789-0100
E-MAIL: crocker.coulson@coffincg.com

Press Releases are also available by calling (800) 233-0406 ext. 3033, or by email to corp@echo-inc.com

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Electronic Clearing House, Inc. (ECHO)
28001 Dorothy Drive
Agoura Hills, CA 91301

Phone: (800) 233-0406
Fax: (818) 991-5973
E-Mail: echo@echo-inc.com
URL: http://www.echo-inc.com