Survey: Consumers Seek Convenience and Options.

Mr. Flanigan is chief marketing officer for Fort Knox National Co., a firm that specializes in electronic and expedited payment solutions.

The paper check may never be erased from the average American household. But it's far less popular than the booming industry of electronic payments, and the equally explosive area of opportunity unleashed by expedited payments, commonly known as convenience payments. The reason why U.S. consumers have turned to the convenience of expedited payments, however, has more to do with their hectic lifestyle than financial issues.

Recent research into the online payment preferences of consumers has determined that 49.9% of survey respondents "forgot" or "simply ran out of time" when asked about conditions that cause them to make late payments. After "forgetfulness," the other reasons why some of those bills are relegated to the back of the drawer - or the back of one's mind - are, in order: cash flow, travel, illness, holidays, disorganization, disputes with the biller and difficulty managing bank accounts.

The independent research, conducted by Edgar, Dunn & Co. for Fort Knox National Co., reveals a series of unique insights into the online payment patterns of consumers. The implications are broad, and the information critical and timely, as billers turn to electronic payment processing solutions to enhance cash flow while improving their billing, payment and remittance processes.

The typical American household receives about 15 bills per month - a number that continues to grow, reflecting new consumer trends and behaviors. Think of the number of new bills that are commonplace today, but did not exist even a few years ago, such as cell phones and Internet service providers.

The sheer mass of bills is a contributor to consumer disorganization, and consumers are demanding alternative payment options that offer convenience while helping them organize their finances. The findings dispel the popular myth that consumers who pay late do so only because they don't have the cash. The fact is, consumers are making late payments because they're either too busy, they ran out of time, or some other priority emerged.

To their credit, savvy consumers are turning to the Web and other channels to play an electronic form of biller catch-up, according to the research. Out of all online bill payers surveyed, one in four have expedited a payment over the last year, using some form of convenience process to get a bill paid before a late fee is assessed or their credit rating is damaged.