SAN ANTONIO, Aug. 19 /PRNewswire-FirstCall/ -- Billserv, Inc. (OTC Bulletin Board: BLLS) the leading Electronic Bill Presentment and Payment (EBPP) Outsourced Solution Provider announced today the next step in its transition to become an Integrated Payments Solution Provider by changing its corporate name and trading symbol on the Nasdaq Bulletin Board. This name change transaction was approved by a majority of Billserv shareholders at the special shareholder meeting on July 14, 2003, which was part of the overall sale of certain EBPP assets to Saro, Inc., a wholly owned subsidiary of Cyberstarts, Inc.

Michael Long, Chairman and CEO of Payment Data Systems said, "with the change of the name of Billserv, Inc. to Payment Data Systems, Inc. (PDS) and a change in the stock trading symbol to OTC Bulletin Board: PYDS, both of which are effective Wednesday, August 20, 2003, it is recognition of the new beginning for PDS and our shareholders. Furthermore, the name change defines our focus of building a new market presence to include both multi-channel payments and ISO (credit card payment) operations."

Louis Hoch, President and COO of Payment Data Systems stated, "The multi- channel payments strategy allows us take advantage of our expertise in the outsourced processing of high-volume electronic payments received from the web, as well as providing expanded channels such as integrated voice response (IVR), accounts receivable (ARC), and point of sale check conversion (POS). This will allow our expertise to provide comprehensive and new payment channels for small and high volume billers and retailers alike."

Hoch added, "This new focus has already manifested itself in the form of a multi-year contract that is required to provide over the next two years a minimum of credit card transaction volume of $600 million. This relationship provides for a new revenue stream where PDS will earn both a transaction fee and a percentage of the payment made. Additionally, we are seeing a great deal of interest in prospective customers who wish to take advantage of the extended and integrated payments offerings. While these have not yet resulted in contracts, the outlook is certainly positive for increased revenue potential at this point."

PDS will also continue to own and operate its billx.com consumer bill payment portal. The billx.com portal is located on the web at http://www.billx.com and supports all types of consumer payments including eBills, pay anyone, and person-to-person payments for all on-line auction services.

About Payment Data Systems, Inc.

Payment Data Systems, Inc., is an Integrated Payments Solution Provider delivering comprehensive, cost-effective solutions to billers and retailers for the processing and management of electronic payments via the Internet, point of sale, or payments taken by Customer Service Representatives or an Interactive Voice Response (IVR). For additional information, visit www.paymentdata.com or call (210) 494.8887.

With the exception of historical information contained in this release, this release includes forward-looking statements made under the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements.