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Automated Clearing House News - Third Quarter 1989

IP.com Disclosure Number: IPCOM000243641D
Original Publication Date: 1989-Jan-01
Included in the Prior Art Database: 2015-Oct-07
Document File: 4 page(s) / 1M

Publishing Venue

Undisclosed

Abstract

ACH newsletter from 1989

This text was extracted from a PDF file.
This is the abbreviated version, containing approximately 22% of the total text.

Page 01 of 4

Automated Clearing House News

Third Quarter 1989

New York Automated Clearing House 100 Broad Street
New York, N.Y. 10004
(212) 612-9200

NYACH members show. innovation in national direct deposit campaign

The finale of NACHA's national marketing campaign for direct deposit of payroll occurred in September but its effect will be felt for a long time to come, particularly among NYACH members who conceived some novel approaches of their own to customers.

ACH News canvassed NYACH members as the campaign ended to determine their involvement. The survey indicated that they were not only active in marketing DDP, but also displayed some unusual flair.

As a promotion to reach out to employers, one New York City bank organized a sweepstakes for retail customers. The entry period was from September 15 to October 15 with a VCR, a microwave oven, and a cordless telephone as prizes.

Pamphlets with entry forms were placed at teller windows in the bank's 20 branches with the highest volume of check cashing. Entrants deposited in strategically positioned ballot boxes a form providing, among other things, the names and addresses of their employers.

The idea paid off: for very little outlay (prizes, ballot boxes, and pamphlets), the bank in return got the names of hundreds of employers not presently using DDP, and promoted con- sumer awareness of the product as well. If enough of the leads become DDP customers, the bank plans to organize another sweepstakes.

Retail division support was enlisted to reach customers in other ways. Stutters went out in monthly statements. Flyers and pamphlets were placed in branches, particularly those with a high volume of check cashing customers. ATMs were programmed to flash DDP messages at customers trans- acting business.

Corporate marketing efforts were more straightforward. (continued on following page)

NYACH participating in COLA notification pilot with Treasury and Social Security.ยท

NYACH will send 1990 cost of living adjustment (COLA) messages to direct deposit recipients of social security pay- ments in an experiment being carried out by the Financial Management Service of the U.S. Treasury and the Social Security Administration (SSA). Approximately 600 partici- pating institutions and one million payments will be involved in the pilot.

The pilot reflects a decision by the Treasury Department to capitalize on the ACH system as a mover of remittance in- formation. Two other ACHs are also involved.

Using the pre-arranged payment or deposit format with the 05 addendum (PPD +),two messages will be sent electron- ically to beneficiaries. PPD + , used by the payment originator when it intends that remittance information be passed on to the payee, was introduced in April 1988 by NACHA for con- sumer payments.

The first message will go out with the December payment, advising beneficiaries that their January 1990 payment will include a cost of living increase. The second message will be sent with the January payment, an...