This versatile app allows users to take notes AND annotate PDF’s.
UPAD lets you “handwrite” in a choice of colors and widths and allows you to choose from 30 different papers in its “template gallery”. The gallery includes several line width and color choices, along with different graph papers. You can import and edit images from iPhoto into your documents. UPAD also allows you to open PDF files directly from your e-mail or any other apps via the “Open in UPAD” dialogue box. Documents can be organized into folders and password protected for security.
There is a FREE version of the app (with limited functionality) or you can download the full version for $4.99 in the App Store.