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MCLEAN, Va., Aug. 26 /BUSINESS WIRE/

Responding to a report from Cyber Dialogue of high churn rate among online banking customers nationally, Matthew P. Lawlor, CEO of Online Resources & Communications Corp., makes the following statement:

"Our years of experience in the online banking industry is much more positive than the Cyber Dialogue report indicates.

"Overall, churn rate over the past 12 months for our clients' online customers is approximately 16%, half of what Cyber Dialogue studies indicate, and is even lower among customers who have used our service over the longer term.

"Moreover, looking at customers who use our online bill paying service along with online banking, the churn rate has been approximately 8%.

"These figures tend to confirm what Cyber Dialogue stated in a June 22, 1999 news release that 'the ease and convenience of bill payment online is the most desired feature of banking sites... [confirming] online bill payment as a potential killer app.'

"We believe the old banking adage that cross-selling multiple services is the key to successful banking. This applies to Internet banking as well as traditional delivery methods, and it is the key to any successful online banking program."

About Online Resources
Online Resources & Communications Corporation (http://www.orcc.com) is a leading outsourcer of privately-branded Internet financial services for regional and community banking institutions. The McLean, Virginia-based company has over 375 institutional clients nationwide. The company provides consumer bill paying and banking services, and aggregates lending, insurance, securities trading and investment services. Online Resources performs real-time processing through its patented EFT Gateway and full customer service for client institutions, giving them a comprehensive "hub" solution from a single vendor. Client consumer marketing programs are conducted under the bankonline.com co-brand.