8-K

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                        Securities Exchange Act of 1934


         Date of Report (Date of earliest event reported) March 6, 2002


                          ELECTRONIC CLEARING HOUSE, INC.
                        ---------------------------------
             (Exact name of registrant as specified in its charter)


          NEVADA                      0-15245                  93-0946274
- --------------------------------------------------------------------------------
(State or other jurisdiction       (Commission                (IRS Employer
     of  incorporation)             File Number)            Identification No.)



    28001  Dorothy  Drive,  Agoura  Hills,  California           91301
    ---------------------------------------------------------------------
        (Address of principal executive offices)               (Zip Code)


     Registrant's telephone number, including area code  (818) 706-8999


          -------------------------------------------------------------
          (Former name or former address, if changes since last report)



ITEM  5.  OTHER  EVENTS

          On  March  11,  2002,  Electronic  Clearing House, Inc. issued a press
          release  announcing  the  settlement  of  litigation  with  Premiere
          Lifestyles  International Corporation. A copy of such press release is
          attached  hereto  as  an  exhibit.

ITEM  7.  EXHIBITS


Exhibit
Number    Description  of  Document
- ------    -------------------------

99.1      Press release issued and dated March 11, 2002.



                                   SIGNATURES



Pursuant  to  the  requirements  of  the  Securities  Exchange  Act of 1934, the
Registrant  has  duly  caused  this  report  to  be  signed on its behalf by the
undersigned  hereunto  duly  authorized.





                              ELECTRONIC  CLEARING  HOUSE,  INC.
                                     (Registrant)




                              By: \s\ Alice  Cheung
                                 -----------------------------------
                                Alice L. Cheung, Treasurer &
                                Chief Financial Officer



Dated:  March 11, 2002

EX-99.1

                                                                    EXHIBIT 99.1

ECHO (SM)

FOR  IMMEDIATE  RELEASE

              ELECTRONIC CLEARING HOUSE, INC. ANNOUNCES SETTLEMENT
        OF LITIGATION WITH PREMIERE LIFESTYLES INTERNATIONAL CORPORATION

AGOURA  HILLS,  CALIFORNIA,  MARCH  11,  2002  - Electronic Clearing House, Inc.
(NASDAQ:  ECHO)  announced  today  that  it  has settled all claims arising from
litigation  known as Premiere Lifestyles International Corporation v. Electronic
Clearing  House,  Inc.  This  litigation  previously  has  been  reported in the
Company's  public  filings  and  press  releases.  Its  settlement  now  avoids
continued  management  time  and  costly litigation.  Joel M. Barry, ECHO's CEO,
stated that "the Company was extremely reluctant to settle the lawsuit but given
the  judge's  encouragement  to  both  parties  to  settle  the  matter  and the
potentially  large  legal  costs connected with any appeal to a higher court, we
concluded  that  a settlement was in the best interest of the Company, including
its  shareholders  and  employees.  With the distraction of the litigation gone,
management  can  now  focus its full attention on the Company's ongoing business
strategies,  growth  and  customers."

In  the  settlement  approved  by  ECHO's Board of Directors, the Company made a
one-time  cash  payment  of  $1,200,000 to Premiere and will execute a long-term
promissory  note  secured  by the Company's office building in favor of Premiere
for  an  additional  $1,300,000, payable over 15 years, with an interest rate of
8%.  The Company made no admission of liability as part of this settlement.  Mr.
Barry  reported  that  "management believes that the Company continues to have a
solid  balance  sheet  despite  the  costs  associated  with  the  settlement."

About ECHO:
- ----------
Electronic  Clearing  House,  Inc.  provides  a complete solution to the payment
processing  needs  of merchants, banks and collection agencies.  ECHO's services
include  debit  and credit card processing, check guarantee, check verification,
check  conversion,  check  re-presentment,  check  collection,  and  inventory
tracking.  Customers  include  over  60,000  retail merchants and U-Haul dealers
across  the  nation.

Safe  Harbor  Statement  Under  the  Private Securities Litigation Reform Act of
1995:  Any  statements  set  forth  above  that  are  not  historical  facts  re
forward-looking statements that involve risks and uncertainties that could cause
actual  results  to  differ  materially  from  those  in  the  forward-looking
statements.  Potential  risks and uncertainties include, but are not limited to,
such  factors as fluctuations in demand for the Company's products and services,
the introduction of new products and services, the Company's ability to maintain
customer  and  strategic  business  relationships,  technological  advancements,
impact  of  competitive  products  and  services and pricing, growth in targeted
markets,  the  adequacy  of  the  Company's  liquidity and financial strength to
support  its  growth,  and  other  information detailed from time to time in the
Company's  filings  with  the  United States Securities and Exchange Commission.

Media  Contact:
- ---------------
Donna  Rehman,  Corporate  Secretary        Crocker Coulson, Partner
818-706-8999, ext. 3033                     Coffin Communications Group
Electronic  Clearing  House,  Inc.          818-789-0100
Agoura  Hills,  Calif.                      E-MAIL: crocker.coulson@coffincg.com
                                                    ----------------------------
URL:http://www.echo-inc.com
- ---------------------------
E-MAIL:  corp@ECHO-inc.com
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