IPP of America

1
IPP of America
Why IPP

• Make More Money as an IPP Payment Center
• New revenue source
• Provide valuable customer service
• Attract new customers
• Keep your customers coming back

2
IPP of America
IPP is the Leader

• Consumer Funded Bill Payment
• Customer pays cash fee of 1.25 - 5.00
• Payments electronically processed daily
• Bills posted in 1-2 banking days
• Safe, Reliable, Secure, GUARANTEED

3
Opportunity
The Walk-in Consumer

• In 2004, of the 18 billion bill payments made by
  consumers, about 500 million were made in-person.
  (this equates to nearly 3)
• Telecom and utility bills accounted for about 70
  of walk-in bill payments.
• 64 of walk-in bill payments were made by cash.
• Walk-in bill payments account for about 3 of
  total consumer payments versus 14 for online
  payments.
• Walk-in bill payment is a significant opportunity
  generating about US1 billion in annual revenues

Gwenn Bézard, Research Director with Aite Group
4
The Retailer
Traffic Income

• Increase daily traffic flow
• Spur impulse buying
• Receive a healthy transaction fee
• Provide reasons for customers to return
• Offer convenient service and value
• Diversify your business without inventory

5
The Retailer
Target Locations
You can drive or walk by more IPP locations in a
day, than you can sell in a month
Supermarkets C-stores Pharmacies Travel agents
Check cashers Wireless Store Convenience
stores Pawn brokers
6
The Consumer
The Advantages

• Consumers know that with IPP . . .
• They can pay multiple bills in one location
• It is cheaper and easier than money orders and
  stamps
• Payment is faster and more reliable than mail
• convenience and trust of using their local
  retailer
• The receipt is their guarantee that the funds
  will be sent

7
State Availability
About IPP
8
National Billers
About IPP
Shell Gas Card Sprint PCS Sprint Long
Distance Sprint Local Sunoco Gas
Card Target Target Visa Telcom Telmex Texaco Gas
Card Toyota Motor Credit T Mobile Verizon Verizon
Wireless Victorias Secret Volkswagen Motor
Credit Wal-Mart Wired Plastic (One Global Fin)
ADT Security Alltel Res Wireless American
Express Amoco Gas card ATT Local ATT Long
Distance ATT Wireless ATT Universal
MC/Visa Bank of America MC/Visa BankOne
MC/Visa Best Buy Bloomingdales CCI/CAT Comm.


Capital One
MC/Visa Chase MC/Visa Chevron Gas Card Cingular
Wireless Circuit City
CITGO Gas Card Citibank MC/Visa Direct TV Dish
Network Discover Card Express Exxon Gas
Card Fashionbug First Premier MC/Visa FirstUSA-Fir
stCard MC/Visa First Vineyard MasterCard Ford
Motor Credit Gap GMAC Loans Leases Household
MC/Visa Home Depot IDT Local Long Distance
JC Penney Lane Bryant Lerner Liberty
Wireless Lowes Macys MBNA MC/Visa MCI
Residential MCI Neighborhood Mervyns Mobil Gas
Card Nextel Old Navy Providian MC/Visa Qtel
Communications Radio Shack Sams
Club Sears Sears MasterCard
9
Sample State Biller Lists
About IPP
10
Wireless
IPP Services
All Wireless Prepaid Postpaid
11
Sales Rep.
Whats in it for you?

• Add substantially to your income
• Long-Term Residuals
• Provide your merchants with new services
• Strengthen your Merchant relationships

12
Sales Rep.
How to set the fee
Category Type Package A Package B Package C
Tier I Utilities 1.25 1.50 1.75
Tier II Wireless 1.50 2.00 3.00
Tier III National 1.50 2.00 3.00
Tier IV Special Price Payments (convenience
fee commission set by IPP) Flat Fee
Option Choose one price for all Tier I, II, III
payments (between 1.25 - 2.00) Other Fees
less than 125 payment 9.95 monthly statement
fee more than 125 payment 4.95 monthly
statement fee
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Commissions
Earn More
Volume Commission Total 0 -
200 .50 100 201 - 500 .60 300 501
- 999 .70 700
What the merchant earns on Bill Pay
Estimated commission to agent based on certain
pricing and volume assumptions
Retail Fee Merchant ISO 1.50 .40 .30
1.50 .50 .20 1.50 .60 .10
What the ISO earns on Bill Pay
IPP charges a buy rate of 0.80 on each
standard bill payment transaction. ISO earns 100
of the residual after merchant commission
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Responsibilities
Sales Rep.

• Submit paperwork that is complete and signed
• Once approved make sure that the merchant is
  installed and activated quickly
• Make the store successful
• visit often
• put up signs, posters, light boxes
• promote the service

15
The Solution
POSA Terminal

• The Verifone 3730 3740 3750 are widely used by
  merchants
• An easy system to use
• Run, void transactions
• (Note Transactions need to be voided within 15
  minutes)

16
Solution
IPP Online
More Billers Vendors Post Rush Payments in 30
minutes Easy to use, up and running in 1
hour Requires no additional software only
internet connection Online instructions
tutorials Interactive tech support
17
How It Works
Making a Payment

• Consumer provides bill or account number
• Payment Center enters information
• Customer pays bill and fee in cash
• Customer receives guaranteed receipt
• IPP sends payments electronically to vendor
• IPP remits guaranteed funds to vendors daily
• IPP tracks each payment and provide bi-lingual
  customer service at 888-IPPPAYS

18
How It Works
Retailer Responsibilities

• Enter Bill Payment data into system
• Give the customer printed receipt and keep a copy
  with the remittance
• Collect Funds from the customer
• Print Deposit Report to reconcile at end of day
• Deposit Funds in their bank account next day

19
About IPP
Corporate Overview

• IPP is the leading independent national network
  of neighborhood-based payment centers providing
  reliable and safe electronic payment services to
  cash paying customers.

20
About IPP
Fast Facts

• Over 3,000 Payment Centers
• in 30 states serving over 800
• billers

• 11 years of service excellence and profitability
  

21
About IPP
No competitor comes close

• Proven model of consumer bill payments
• Superior technology
• Offers more billers, products, and services
• Focused only on walk-in payments
• Licensed money transfer provider
• Strong balance sheet
• No float funds flow model
• Strong audit and compliance record

22
Common Questions
About IPP

• Exclusivity
• Security
• Competition
• Sweeping Funds

23
Marketing
Light boxes, Boards
24
Conclusion
Safe, Stable, Successful

• IPP, your partner for neighborhood walk-in bill
  payments