2003 Press Releases

PaymentOne Doubles Internet Subscribers and Consumer Billings as Many Seek Secure and Convenient Alternatives to Paying by Credit Card

San Jose, CA — April 28, 2003 — PaymentOne, the leader in payment solutions and strategies for the Internet, today announced that Internet consumer billings through its payment infrastructure reached $305 million for the nine month period ending in March of 2003, nearly double the billings during the same period a year earlier. PaymentOne's rapid growth continues to be driven by consumer demand for safe and convenient payment alternatives.

PaymentOne provides leading Internet service and content providers with a comprehensive, end-to-end payment solution that integrates a full range of payment alternatives, including PhoneBill ™, DirectPay, WebBill ®, CreditCard, ACH, and Pre-Paid. PaymentOne's PhoneBill ™ and DirectPay services are "billed-via-mail" options and have become extremely popular by appealing to consumers who prefer not to pay online with a credit card. PaymentOne's clients consistently realize an increase of 30 percent or more in customer acquisition rates.

"Internet content and service providers who recognize the strategic importance of offering a range of secure and convenient payment alternatives are realizing uplift in sales and subscribers that few consumer advertising campaigns could ever hope to achieve," said Joe Lynam, president and CEO of PaymentOne. "Our latest research shows that more than 60 percent of consumers say they would be more likely to buy content online if there were safe and secure alternatives to current payment methods."

Thus far, more than 3.5 million Internet users have subscribed for services or content using the PaymentOne platform. United Online Inc. recently joined other major Internet service and content providers including AOL Time Warner in offering their customers the PaymentOne billing alternatives. With millions of users on its value-priced NetZero, Juno and Bluelight Internet services, United Online is one of the industry's leading Internet service providers.

Advanced Technology PaymentOne's unique end-to-end solutions and patent-pending technology allow providers to integrate a full range of payment alternatives, which can be presented to consumers in order to optimize revenues and customer satisfaction. The company's outsourced services include credit verification and fraud control, billing, collection and customer handling.

The company's PayConnect provides open APIs and a secure system that acts as a gateway to PaymentOne's suite of alternative payment platforms, validation services, and CRM platform. As a result, service and content providers are able to address the full range of customer payment preferences and thereby optimize revenues without the costs and time usually associated with multiple integrations.

PaymentOne's Validation and Fraud Control Service allows providers to automatically identify billable transactions across payment platforms, minimizing non-billable and non-collectable sales. PaymentOne's validation technology has multiple patents pending, and the company continues to develop new innovative capabilities and processes to improve the reliability and reach of its validation and fraud control solution.

"PaymentOne has built the preeminent hosted payment services infrastructure for the Internet, enabling our clients to get to market more quickly, reduce the cost of billing and collections, and dramatically increase revenues and customers through proven advanced payment strategies," said Lynam. "Our continued rapid growth in a tough economic environment is testament to the value we deliver to consumers and providers alike."

About PaymentOne

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PaymentOne is a registered trademark of PaymentOne Corporation. WebBill ® and DirectBill ™ are trademarks of PaymentOne Corporation. All other names and trademarks are the property of their respective owners.