Finance committee  In the case of PayPal, there's nothing stored on the phone at all.

Finance committee  I was just going to say that PayPal enables the same thing. Any nature of cards—

Finance committee  Absolutely.

Finance committee  I'm not a technology person, so we can give you details on all of that, but, essentially, there is no issue there.

Finance committee  In most cases it's 2.9% plus 30¢. That's for whatever they use. If they funded their account with a premium card, debit, different kinds of credit, or anything they have in their wallet that's funded, what we offer the merchant is a flat rate. That's really a core benefit.

Finance committee  I have one other example. You mentioned waving a phone over a tablet.

Finance committee  One of the things that we're testing—and that Apple is as well—is beacon technology, Bluetooth technology that essentially allows you to walk into a store, and, if you've opted into this, you've checked in. You don't even have to take your phone out of your pocket. Through facial

Finance committee  The other barrier to entry is the cost to provide all the fraud protection and all of the security that is required. We do that across 193 countries, and in a regulated market that's not cheap. That's a lot of money to fund that day in and day out.

Finance committee  I'll just add one more comment similar to the last one, which is that the business process from a merchant's standpoint that can really be a cost savings for them is getting people through lines faster. So if you can blow more people through your store, that's a lot of money.

Finance committee  Buyer protection in a sense, yes.

Finance committee  That's right, and if it's not, then we will help you to resolve it.

Finance committee  If I may, I'll start. The PayPal business model is based upon a flat-rate fee to the merchant, and behind the scenes there is a blending of the various card types. So the merchants don't have to worry, for example, if everybody comes into their location and is using a premium ca

Finance committee  In a sense; the example I was implying is this. Imagine you have a merchant, 100% of whose consumers come in and use Amex or some premium card. That rate is far above the base rate we charge them, and we eat that, in a sense. So in that sense we are offering that value to them. C

Finance committee  Bonjour. Thank you very much for the invitation to come here and speak today. I look forward to sharing with you how PayPal helps Canadian businesses to thrive and Canadian consumers to securely pay anytime and anywhere across the emerging digital commerce landscape. PayPal is