LOUISVILLE -- Barrett Nichols, founder and CEO of BSG Financial, LLC, a leading provider of profit-enhancing programs and marketing services to the financial industry, recently discussed how the electronic collection of return deposit items can both improve commercial account holder retention and increase bank income at the 2007 State Banking Associations (SBA) For Profit Forum in Boston on October 7. The Forum brought together 29 state banking association officers to discuss industry trends and products.

Nichols’ presentation, “Improve Your Merchants’ Collections, While Increasing Your Bottom Line by Utilizing Electronic Re-submission Technology,” which was co-presented with Jeff Harper, vice president of BSG Financial, addressed the various issues both banks and their business customers face concerning bad check collection. Not only is the traditional collection of the more than 300 million bad checks written each year a burden on businesses and their financial institutions, but the success rate is mediocre at 40 to 45 percent.

By utilizing electronic check recovery (RCK) technology, commercial account holders can successfully recover 100 percent of the face value of returned items on 75 to 80 percent of all items processed. While a paper check can be re-presented to a check writer’s account one time if it is returned, a check converted into an electronic item can be re-presented up to two more times, dramatically increasing collection success. With only 7 percent of collections attempted electronically, the opportunity for banks to win and retain businesses is great with no change to check acceptance procedures or burden on day-to-day operations.

“With electronic collection, returned deposit items are turned into an income opportunity without a large time or equipment investment,” said Nichols. “With turnkey, service-oriented programs, such as our Re$ubmitIt®, banks can effectively take advantage of existing technology to capture a leadership position, increase fee revenue and improve and win commercial account relationships.”

Re$ubmitIt, which is provided as a free service to bank customers, requires no equipment or hardware, offers secondary collections at no additional costs and provides complete reporting via a secure Web site.

“Banks are especially drawn to the system because of its efficiency of process and success rate in collections for their commercial customers,” said Peter Blanchard, vice president of the Massachusetts Bankers Association and this year’s Forum chairman.

About BSG Financial, LLC

Louisville, Ky.-based BSG Financial develops and manages innovative, profit-enhancing programs for the financial industry. In addition to Re$ubmitIt, the company offers CourtesyConnect®, the industry’s first Web-based overdraft management system, and a Sale/Leaseback program to help banks and credit unions generate capital from non-earning depreciated assets.

BSG Financial, recognized by Bank Technology News as an industry innovator, is privately owned and serves financial institutions nationwide whose assets range from $100 million to more than $32 billion. For more information about the company, visit www.BSGfinancial.com.