Arizona County Tax & Fee Payments Can Now Be Made by Credit Card, Via Internet & Telephone; Official Payments Corp. Signs First Contracts in Arizona.

Business Editors

STAMFORD, Conn.--(BUSINESS WIRE)--Aug. 28, 2000

Official Payments Corporation (Nasdaq: OPAY) (www.officialpayments.com) today announced separate new business awards with six counties in Arizona, representing the firm's first business contracts within the state. The services enable county residents to pay a number of taxes and fees by credit card, via Internet or over the telephone.

       Official Payments signed agreements with Coconino, Greenlee,
Pinal, Mohave, Yavapai, and Yuma Counties for the following services:

     Coconino County   Real Estate Tax, Personal Property Tax
     Greenlee County   Real Estate Tax, Personal Property Tax
     Pinal County      Real Estate Tax, Personal Property Tax,
                         Moving Citations Fees
     Mohave County     Real Estate Tax, Personal Property Tax
     Yavapai County    Real Estate Tax, Personal Property Tax
     Yuma County       Real Estate Tax

These counties project approximately $347 million in year 2000 personal property and real estate taxes will be collected next year, with an average tax bill of $755. First installments of Arizona county property taxes are due no later than November 1, 2000. The Internet and telephone systems are scheduled to go live this fall.

Official Payments has similar agreements with over 550 government entities across the country. The company has contacts with the Internal Revenue Service and nine state governments, to collect taxes, fees, and fines by credit card over the Internet and telephone.

Official Payments Corp. charges taxpayers a convenience fee for processing these credit card transactions. The fee schedule can be found on the Internet at www.officialpayments.com. For example, a taxpayer who owed a county $2,300 and charged their taxes would find a total of $2,356 on their credit card statement: $2,300 for the tax bill and $56 for the convenience fee. Taxpayers using credit cards with bonus rewards programs can, depending on their card's program, earn rewards, points, and cash-back or airline frequent flyer miles for paying their taxes.

About Official Payments Corp.

Official Payments Corp. is a leading provider of electronic payment options to government entities. The company enables consumers to pay government fees and taxes via telephone or the Internet, using their credit cards. The company has partnered with the Internal Revenue Service; several state governments, including Arkansas, California, Connecticut, District of Columbia, Illinois, New Jersey, Maryland, Minnesota, and Oklahoma; and over 550 municipal and county entities, in which it collects property taxes, real estate taxes, parking fines and other government fees by credit card over the telephone and the Internet. The company is publicly traded on Nasdaq under the symbol OPAY. Official Payments Corp. is committed to making payments to the government go fast, smart and safe.

Statements contained in this release may be deemed to contain forward-looking statements that involve risks and uncertainties, including, but not limited to, statements regarding the company's competitive position and business model and expected growth of electronic payments to government entities. All forward-looking statements included in this press release are based upon information available to Official Payments Corp. as of the date of the release, and the company assumes no obligation to update any such forward-looking statements. Actual results may differ materially from those anticipated in, or caused by, any forward-looking statements as a result of certain risks and uncertainties, including, without limitation, the general economic and business conditions, major systems failures, constraints in capacity, rapid technological changes, maintenance of government contracts, competitive nature of the market in which the company competes, the early stage of development of the company's products, and the lack of market acceptance of the company's products. These and other risks and uncertainties associated with the company's business are detailed in the company's registration statement on Form S-1 declared effective on November 23, 1999 by the Securities and Exchange Commission.

Note: Official Payments Corp. and Official Payments Corp. logo are registered trademarks. All other products or company names mentioned are used for identification purposes only, and may be trademarks of their respective owners.