private labeled prepaid cards

Helping Your Business

Deliver

Everyday Banking at

Everyone’s Fingertips

Overview

About the market and Plastyc

What Plastyc can deliver

Business Model

Drafting a Marketing Plan & Deployment Forecast

2 (c) Copyright Plastyc Inc., 2012

1 Person in 3

is Underserved & Overcharged by Banks

100M1 US consumers pay too much and receive too little for basic banking services

• The era of free checking is over

• Handling cash &checks without a DDA is very time consuming and expensive

• The pain of under-banking is ignored by banks and perpetuated by alternative

financial service providers and retailers of prepaid cards

$B100’s of gross dollar volumes and $B in service fees

• $9B2 spent in 2010 in fees for Money Orders, Payroll Cards, GPR Prepaid,

Check Cashing, Walk-in Bill Pay, Remittances, Checking & Savings

• $100B3 loaded in 2010 on prepaid cards; will grow to >$400B in 2017

(c) Copyright Plastyc Inc., 2012 3

1: 60M under-banked +12M age 18-20 with no

access to credit cards + 25M “angry-banked”

FDIC, US Census Bureau 2 CFSI, 2011 3 MasterCard, 2011

Plastyc’s Mission

Provide the power of a bank account via any browser or mobile device

to anyone, irrespective of:

• Income

• Age

• Bankability

… through a fast-iterating platform

• Cloud-based for scale

• Multi-OS for reach

• Highly customizable

Deliver Everyday Banking at Everyone’s Fingertips


Basic

Prepaid Cards

Deeper Value to Consumers

• Direct deposit

• Pay bills by direct debit Get paid faster

& pay some bills

• Automated savings purse

• Purse for bill-payments1

• Customizable alerts Be more responsible

• Cash-back rewards

• Discounts on prescription drugs

• Online rewards mall Stretch money further

• Pay rent with paper checks

• Top-up of mobile phone minutes

• Mobile Check Cashing2

Save time & pay critical bills

5

P

l

a

s

t

y

c

1: Available H2 2013 2: Available H1 2013 (c) Copyright Plastyc Inc., 2012

Addressing Key Pain-Points


Write checks to your

landlord1 Avoid trips to

the check casher2

Build a safety net

automatically

Save on everything

Get rid of tedious calling

cards

1: Even if on Chex blacklist 2: Available H1 2013

Also on the roadmap:

- Build up FICO score

Plastyc at a Glance

Best-in-market LTV: 2 year life time, >80% of $ from direct deposits

Fast innovation: company principals have created consumer products &

services sold in the billions

Cost leadership: branchless operations & minimal overhead

Foster most favorable consumer behavior: sticky services at lowest fees

Direct to Consumer

UPside and iBankUP brands, sold online

White-labeled & Platform Services

Powering the US’s largest (3M/year)

prepaid card deployment

7

Direct to Consumer

Platform Services

We know consumer

interactions AND

banking technology

Partner of Choice


Market’s best features/price ratio

• $4.95/month entry price (occasional users)

• $0.99/month when loading >$500

• $0 when Premium member

Leading the pack for trust-ability

• First to implement CFSI’s prepaid fee box

• First “Compass Principles” Champion

• Joint study with CFPB on e-disclosure

Industry Validation

• Visa’s top innovating partner

• Investment from CFSI’s VC arm

• 2-year winner of Paybefore magazine awards

Plastyc’s Current Audience…

Under-banked… but well connected

98% of our customers have a cell phone

55% have an Android phone

25% have an iPhone


Source: QuantCast UPsideCard.com

They’ll receive a financial service, not just a prepaid card

Why Will Your Audience Love It?

100% mobile access from any mobile

Write paper checks on demand

Deposit checks from phone1

Direct airtime refills of cellphones

Cash-back rewards

Companion cards

Remote cash loads

Receive funds via e-invoicing

Rainy Day Reserve with SaveUp rewards

Discount drug card for 60,000 pharmacies

Direct interface to Budgeting Tools (Mint, Strands…)


1: Available Q1 2013

Set up sub-programs

& BINs

Manage network

approvals for marketing materials

Build & operate multi-channel

Consumer Interfaces for sign up and

account access

Configure Loyalty Engine

Set up secure monitoring &

reporting interfaces

Deliver real-time reports &

analytics for each acquisition

channel

360° White Label Capabilities


Building a prepaid-based service for your business

Service Architecture


(Visa & EFT Processing)

Accounts Opening Accounts Access

& Mgmt.

Loyalty

Services

Direct Bill

Pay Savings

Account

Funding

Viral Marketing

Portfolio

Monitoring

Plastyc…

Manages approval for & handles card artwork production &

consumer interfaces

Operates account opening, account management, transaction processing,

customer support

Delivers real-time reports & analytics

Manages approval of client by the Bank

What Plastyc Can Provide

1. Prepaid Card sub-program with chosen fees & limits

2. Website at dedicated URL:

for online and mobile access to card accounts, and also for enrollment if not

embedded in your existing website(s)

3. Enrollment API integration for enrollment forms embedded inside

your site(s)

4. Re-branded version of the smartphone apps for Android & iPhone

5. 1-8XX number with dedicated IVR call flow

6. Live Agents and Email Support Teams dedicated to the card

7. Loyalty Engine programmed to support your own rewards

8. Card carriers and T&Cs with custom text & graphics

9. Control Panel for real-time monitoring, reporting & analytics


Business Model

Merchants

Interchange

BIN sponsoring fee Visa association fees

Consumers

Monthly fee ATM fee

Check fee Support fee

Tx Processing fees ATM negative interchange

Check issuance costs Live Agents costs

Risk Management costs


Operating

Revenues

Operating

Expenses

Acquisition

Expenses

Identity Verification

Plastic printing

Shipping

Marketing &

Advertising

Your

business

pays for:

Your

business

receives a

share of:

Plastyc keeps consumer fees & part of the interchange,

and pays for all issuance & operating expenses

Drafting a Marketing Plan

Define product message

Refine customer motivators: financial discipline, convenience…

Decide product features & pricing

Identify easy & efficient channels

Online? existing website(s)

Retail? Branches Evaluate channel efficiency:

Cost Per Acquisition, activation ratio, load ratio

Identify initial consumer audience

Cash-based customers? Others?


4000 GOOD THRU 03/14

DEBIT

CARDHOLDER NAME

4000 1234 5678 9010

Your Logo

Here

Drafting a Deployment Forecast

Modeling Tool

Acquisition Budget Expected CPA Activation & Load ratios

Product fee structure Interchange rate

% of direct depositors % of cash loaders % of inactive users

Loads & spending patterns for each user category Expected attrition

16

Plastyc provides an Excel tool to evaluate

available interchange revenues

Plastyc, Inc. 55 Broad Street, Floor 7

New York, NY 10004

[email protected]

212-671-1015

17

mailto:[email protected]

private labeled prepaid cards

Economy & Finance

businessc copyright

iphone c copyright plastyc

plastycwhat plastyc

service architecture

fico score c copyright

retailers of prepaid

mobile access

prepaidbased service