Advanced Payment Solutions' cashplus reaches £100 million turnover

9 August 2007

Advanced Payment Solutions (APS), the UK's leading provider of prepaid card programmes, today announces over £100 million has been topped up onto its multi-award winning cashplus prepaid MasterCard^® cards.

cashplus cards, which are issued by Broadcastle Bank Ltd, have the characteristics of a pre pay credit card, without the credit facility. Launched by Advanced Payment Solutions in September 2005, the cashplus card is a pay-as-you-go, personalised Chip and PIN MasterCard card with access to an online account management website and SMS banking services via mobile phones

The surge towards the £100m milestone is due in part to APS' roll out of successful white label partnerships with leaders in the retail, travel and financial services sectors. Within an 18 month period APS has won over 60 contracts to provide general purpose, financial services, money services, travel, internet, payroll, corporate expenses and debt management applications.

Savvy businesses see prepaid cards as a great way to generate an alternative revenue stream from their customers by earning commission from the card sale or usage fees, or both, depending on the financial characteristics of the programme.

However, the real star of the application for cashplus partners is the priceless insight the spending data provides into the wider purchase habits of their own customers. With companies now increasingly building brand empires embracing a range of product and service categories such as retail, travel, technology and entertainment, it appears the broad ranging purchase habits of your customers can lead you directly to what should be next, and how it should be segmented and priced.

Rich Wagner, Chief Executive of Advanced Payment Solutions, comments:

"Our strategy has been to partner with market leaders and deliver focussed solutions that generate ongoing revenue. We're a technology led company with a proven track record having won national and pan European awards for innovation, product development, and critically, customer servicing.

"The prepaid card model lives and dies by ongoing customer use of the product. Pumping huge numbers of unused cards into the market place is a useless exercise for the companies involved, their brand partners and, sadly, the customer as well. Nobody wins. We are fortunate to have the experience to create and then replicate living, breathing portfolios which continue to generate value for our clients and cardholders month on month," he says.

APS can roll out its cashplus platform for partners within weeks and is now successfully serving the needs of international travellers, online shoppers, the unbanked and new immigrants as well as mainstream UK households looking for a secure, flexible and debt free financial product.

Partners can launch a co-branded version of the cashplus card or design their own programme. APS handles all fulfilment, customer care, fraud protection, regulatory support and financial servicing so that the customer can focus on their core business strategies.

Prepaid cards are popular with consumers wanting the utility of a credit or debit card with the choice not to link their spending to a bank account. As there is no credit facility, there is no need for a credit check, increasing consumer's access to prepaid cards and enabling cardholders to choose the payment card that meets their needs.

Commenting on the consumer uptake of cashplus, Rich Wagner says:

"£100 million of cardholders' money on cashplus cards shows the strength of demand from consumers looking for a full utility payment card without debt or hidden fees.

"We've proven that consumers are happy to pay a small fee for an internationally accepted product, with no risk and no surprises."

Andrew Bryan, Marketing Director for Money Shop, one of the first retail distribution partners of cashplus says:

"APS has continued to evolve the product post launch and the roll out of new features has kept our cardholders engaged and active. We underwent a lengthy RFP process to find a partner that understood how to keep a programme alive post card purchase, which is where APS really stood out.

"This is a significant milestone ultimately achieved by consumers choosing to control their finances through a prepaid pay as you go model rather than a credit alternative.

"There is clearly a strong demand for non traditional banking products in the UK and we are pleased to be at the forefront of providing them to our customers by partnering with cashplus," says Mr Bryan.

Chris Reddish, Group Head, Prepaid Product Manager, MasterCard Europe, commented:

"The demand for the cashplus card across so many industry sectors demonstrates clearly the scope for innovation and creativity in prepaid solutions. The cards can be customised to meet a diverse range of needs and are a powerful tool for helping consumers to better manage their money. We're delighted with the success of the cashplus card."

cashplus has picked up three awards in the past eight months:

Winner of Best Prepaid Card Launch at the Annual Cards and Payments Conference, Berlin, May 2007
Winner of Best Service Provider in Europe at MasterCard Prepaid Innovation Awards, Prague, May 2007
Winner of Most Innovative New Product in Retail Banking in the United Kingdom, London, November 2006

Additionally, cashplus is the only prepaid card programme in the UK that voluntarily offers payment and purchase protection under the Consumer Credit Act, further demonstrating APS' confidence in its cashplus range of products.

Ends

For further information, please contact:

Sanjay Mistry
@ Public Relations
Tel: 0870 011 4716
Mob: 07810 368 772
Email: info@prlimited.co.uk

About Advanced Payment Solutions

Advanced Payment Solutions was established in early 2004 to become the pre-eminent leader of general purpose prepaid cards and payment solutions in the United Kingdom and the rest of europe.

Its senior management team and board of directors have unparalleled experience in the prepaid and payment industries, bringing together experience from Barclaycard, VISA, Bank of America, Netspend, Virgin Group and easyGroup.

The company, backed by leading US private equity and venture capital firm Trident Capital, aims to lead the european prepay market growth to emulate the success of prepaid payment cards in the US where prepaid cards now make up a trillion dollar market.

APS' first prepaid payment card, the cashplus prepaid MasterCard, launched in September 2005, is the UK's first general purpose prepaid chip and PIN payment card. Cardholders can top-up their card at over 20,000 locations throughout the UK. Alongside developing its cashplus product portfolio, APS provides a suite of services for businesses wanting to offer branded prepaid products to their customers.

Consumer website: www.mycashplus.co.uk
Corporate website: www.apsgroup.com

cashplus is issued by Broadcastle Bank Ltd, which is authorised and regulated by the Financial Services Authority (www.fsa.gov.uk/register)

cashplus is serviced by Advanced Payment Solutions Ltd which is a registered agent of Broadcastle Bank Ltd for this purpose.