Catch the Opportunity: Drive Revenue Growth with Smarter Payments

In today’s rapidly changing financial landscape, diversifying revenue streams is no longer optional for financial institutions (FIs)—it’s essential. Non-interest income (NII) plays a critical role in helping FIs achieve stability, reduce reliance on interest-based earnings, and strengthen their financial position. 

The good news? There are opportunities to grow NII by leveraging innovative payment solutions that drive revenue while improving operational efficiency for business clients. Revenue-sharing models, enhanced treasury management tools, and solutions like CheckAlt’s Catch! electronic lockbox make it possible to unlock these new streams of income with ease. 

But how can FIs implement these strategies effectively without disrupting existing client relationships or impacting earnings credits? Let’s explore the solutions. 

The Growing Importance of Non-Interest Income 

Non-interest income isn’t just a revenue booster—it’s a critical factor in building a more resilient and sustainable FI business model. As competition increases and interest margins tighten, NII allows institutions to unlock new revenue streams by offering value-added services to their business clients. 

Revenue-sharing models are a prime example. By partnering with payment solution providers, FIs can share in the revenue generated when clients use these services. Treasury management solutions, such as electronic lockbox services, provide an opportunity to markup services for clients, creating a scalable fee income model.  

Balancing Fee Income with Earnings Credits 

One challenge for many FIs is managing the delicate balance between generating fee income and maintaining client satisfaction, particularly for businesses benefiting from earnings credit programs. 

With solutions like Catch!, FIs can offer services that align with earnings credits while generating incremental fee income. It’s a double win: clients leverage their earnings credits for services, and the FI secures additional NII. The key is presenting these offerings as value-driven, addressing specific pain points such as delayed payments, fraud risk, and operational inefficiencies.  

The Catch! Advantage: Driving Value for FIs and Business Clients 

Imagine your business clients no longer dealing with the inefficiencies and risks of paper checks. Many payments initiated through online banking bill pay systems are printed as paper checks, sent through the mail, and subject to delays or fraud. 

CheckAlt’s Catch! Electronic lockbox solution solves this problem by keeping these payments digital. Clients benefit from faster payment processing, improved cash flow, and reduced risk, while FIs earn revenue through a straightforward revenue-sharing model. 

Key benefits of Catch! include: 

• Maintaining Digital Payments: Prevents online bill pay payments from converting into paper checks, reducing delays and postal headaches. 

• Enhanced Fraud Protection: Mitigates the risk of check fraud and mail theft. 

• Improved Client Cash Flow: Ensures faster receivables, benefiting both the FI and its business clients. 

• Revenue-Generating Opportunity: Offers a tangible way for FIs to grow NII while enhancing client satisfaction. 

By positioning Catch! as a seamless extension of your payment services, FIs can address operational pain points while unlocking new revenue streams.  

Best Practices for Driving Non-Interest Income 

To effectively incorporate payment solutions into your strategy, consider these best practices: 

1. Align Services with Client Needs: Understand your clients’ pain points, such as cash flow delays or fraud risks, and highlight how payment solutions address these challenges. 
2. Educate and Communicate: Provide clear, consistent messaging to internal teams and clients about the value and benefits of digital payment solutions like Catch!. 
3. Leverage Strategic Partnerships: Work with innovative providers like CheckAlt to access revenue-sharing opportunities and reduce operational burdens. 
4. Evaluate Impact on Earnings Credits: Position fee-based services as enhancements that complement, rather than compete with, earnings credit programs.  

Take the Next Step in Growing Non-Interest Income 

For FIs seeking to grow non-interest income, payment solutions like CheckAlt’s Catch! represent a clear opportunity to deliver more value to clients while driving profitability. By adopting innovative services, balancing earnings credits with fee income, and focusing on client pain points, FIs can strengthen their position in an evolving financial landscape. 

Ready to explore how Catch! can help you increase non-interest income while enhancing client satisfaction? Contact us or explore our Catch! electronic lockbox solution today. While you’re at it, be sure to follow us on LinkedIn and subscribe to CheckAlt Connect, our monthly email newsletter, to keep on top of the latest in payments.