Mid-South Auto Payment

Systems

____________________________________________________________________________________________________________________________________________________________________________________________________________________

What is Mid-South Auto Pay?

It is a method by which funds may be transferred electronically from your customer's checking account to your designated checking account in a matter of days. This method is called EFT (Electronic Funds Transfer). This movement of funds is done between banks in an encrypted electronic format. The electronic movement of funds between banks is more convenient, efficient, secure, faster, and far less costly to all involved than the handling of paper checks. All checking account charges and credits are processed through the Automated Clearinghouse (ACH) of the U.S. Federal Reserve. We are known as a third party originator which is regulated and governed by the Federal Reserve, the National Automated Clearing House, and Chase Bank (ACH Department).

RETAIL, RETAIL, RETAIL!

Customers no longer need to write checks, mail payments, or pay bills in person. You will be able to; increase impulse purchases, reduce payment processing costs, obtain faster funds availability, improve collections, reduce the number of returned items, and enhance customer retention. Money is charged to your customersí accounts within 24 hours, reported to you in less than 48 hours whether your customerís account has insufficient funds or is closed, and deposited in your account in approximately 3 working days if the funds are available. EFTís have priority over paper check processing. Now you have no waiting for "The check is in the mail" story! You may set up monthly or periodic (recurring) payments from your customers and guarantee delivery of their products in a timely manner without ever having to re-visit your customer and collect from them each month.

1. You will be notified within 3 business days via fax or e-mail.
2. You can tell your customer to deposit funds so that their funds can clear.
3. You can employ other collection efforts.
4. If this becomes a major problem you may want to enroll in the Telecharge program or ask us about a credit card merchant account to accept payments by VISA or Mastercard.

Each service fee will be deducted from the gross amount of the "check". For example: a "check" for $32.95 will be deposited into your account in the amount of $30.95 within 3-4 business days. The $2.00 service charge is deducted upon transfer of funds back to you.

An insufficient funds fee for $10.00 will be deducted from your checking account within 2 business days, but you will get pre-notification if this should occur via e-mail or fax. (You need to tell us which method to use.)

US checking accounts ONLY. US savings accounts are NOT acceptable at this time even if they can accept ACH payments. Foreign accounts are NEVER allowed to be used.

YES. Many sales are made over the weekend but the customer will not have funds until next Fridayís paycheck is received. You may designate a predetermined date to charge your customerís account. You may state that it should be done the first of each month, or the seventh of each month or a specific calendar date like 2/17/02. We strongly recommend you do not request to charge your customerís account any more than 10 days from the date of sale.

All submissions Must Be In Writing by you, the authorized originator. We will accept information via US mail, fax, or e-mail only. Either of these forms will be sent to you when you set up your account. Our associates can not accept verbal or voice mail submissions.

Yes. The maximum transaction is $1,000.00.

First of all, you must get an authorization from your customer to transfer funds. We highly recommend that you get it in writing. The most important elements that you need are:

Required* 1. 9 digit bank routing number

Required* 2. Bank account number (spaces and dashes (-) are not necessary)

Required* 3. Amount of payment

Suggested* 4. Bank Name

Suggested* 5. Check number if available

Suggested* 6. Customerís name, address, and phone number for your own information

Suggested* 7. Date to have the transaction done if there is a future date(s). If no date is noted, we will transfer the funds from your customerís account that same day.

Mistakes are made all the time; none of us are perfect. You can submit the change as an additional charge or credit to your customerís account at any time in the usual manner. There will just be an additional service fee. Donít forget to let your customer know of any mistake and how you are correcting it. WARNING- Charging unauthorized accounts for unauthorized transactions for any dollar value is against the law. As a matter of fact, it is a federal offense because you are moving funds through the U.S. Federal Reserve System. If found guilty, you will be punished to the fullest extent of the law!

Mid-South Auto Payment Systems needs to be notified by mail, fax, or e-mail that you have changed your bank account. A "voided check" from the new account must be faxed or mailed to us to insure we have all the correct micro encoded information. The fee for this change is $10.00. A second change within a calendar year will cost $15.00. Any fees will be automatically debited to your new account.

As long as you are not in current bankruptcy, do not have any liens or judgments against your checking account, and have not been convicted of any bank fraud or felony, you will be approved. A limited credit check will be done. If any misrepresentations are found, you will not be enrolled, you will forfeit your set up fee, your account will be terminated, and you will be reported to the proper authorities.

Step 1: Read and sign the attached Mid-South Auto Payment Systems ENROLLMENT FORM

Step 2: Fill out the ENROLLMENT FORM completely. Please print or type. Donít forget to tell us the preferred method which you wish to transfer information to us and which method you wish us to use to notify you of any transaction problems.

Step 3: Attach a "voided check" from your designated account. DO NOT SEND DEPOSIT SLIPS!

Step 4: Authorize us to charge your checking account for the $49.00 set up fee.

Step 5: Fax or Mail ENROLLMENT FORM and voided check to:

Mid-South Auto Payment Systems

390 Business Park Way Suite # 2

Royal Palm Beach, FL. 33411

FAX: 888-530-2440 toll free

(800) 530-2440