What's the best way to run a scholarship program for local schools: below are excerpts from a recent online question-and-answer session conducted by marketers who participate in the ABA Marketing Network's Online Community.

• Position: MARKETERS' FORUM

Our Bank Needs a Better System For Our Scholarship Program

Last year we decided to offer scholarship money to about 15 local high schools. While we are sure the students got the money, we feel like we got zero public relations for the program. We want to continue to offer the money but need a better system for doing it--one that will give us some PR, both before the money is awarded as well as afterwards, when we give it out.

Does anyone run their program? Do you have your own application and decide who gets the money? Is it needs based? Do you write the check to the student or to the school they plan to attend? Do you issue a 1099?

Lori Belding, CFMP

Northfield Savings Bank | Northfield, Vt.

The Schools Do the Judging For Our Program

We have our own scholarship program. We award two $1,000 scholarships in each of our three high schools ($6,000 total). Seniors write an essay and submit it to the school for judging. The bank never sees the essays. Thus, our employees' children can win the scholarships. It is not necessarily needs-based. The checks are written to the schools and are 1099 exempt.

As for public relations:

* We place a notice in the newspaper that we are awarding scholarships and that applications are being taken.

* We present...