What is the ePayPad?

The ePayPad is one of several card swipe devices that FreeStar Technology Corporation will deploy to deliver its Pay Safe Now solution. The ePayPad is a small desktop device resembling a credit card reader found at your local supermarket or restaurant. This unobtrusive box is equipped with a credit card reader and a ten key numeric keypad. The ePayPad will allow you to shop and pay bills securely online. One of the main advantages of this innovative system is that, at no time during the transaction period, does the merchant have access to your personal financial information, thus enabling safe and secure financial transactions to take place.

How does the ePayPad work?

The ePayPad is easily installed in most computers. When shopping or paying bills online with your ePayPad, simply click the "Pay Safe Now" checkout button on any participating merchant or service web site and swipe your credit card or ATM card through the ePayPad.

The system relays fully encrypted data, routed over the Internet via our FreeStar Technology Corporation Enhanced Transactional Secure Server (ETSS) and on to the settlement banks and credit card issuers.

What's the advantage for the consumer?

	Security - makes Internet transactions as easy and safe as regular grocery store transactions
	Extra functionality - allows cash payments to be made real time using ATM card with PIN number, e.g. credit a brokerage account, buy tickets, pay utility bills (when such merchants have joined)
	Sensitive data not shared - consumers' financial information never reaches/cannot be hacked from merchant sites

What's the advantage for the merchant?

	Forms an additional way to process payments, does not replace existing ways used by non-ePayPad customers and therefore doesn't limit the number of consumers
	Allows use of ATM cards for payment, greatly expanding the size of the market since millions of consumers do not qualify for credit cards
	Cheaper credit card transaction rates since the ePayPad renders online transactions 'Card Present Transactions'
	Lower fraud rate and charge back costs due to the 'Card Present' status
	Greatly reduces the risk of negative PR from hacker activity since consumers' financial information is not stored on merchant sites