The simplest, fastest and working jailbreaking tool by Comex is released now. JailbreakMe is an online jailbreaking tool which works from the device browser itself. JailbreakMe 2.0 ‘star’ works on iPad iOS 3.2/3.2.1 firmware. It also works with iPhone and iPod Touch.
How To Jailbreak iPad Wi-Fi & iPad 3G iOS 3.2/3.2.1 with JailbreakMe –
1. Connect your iPad to computer, launch iTunes and backup/sync your iPad.
2. Make sure your iPad is connected to Internet.
3. Open Safari browser and visit this site: http://www.jailbreakme.com (or try if original link gets struck).
4. JailbreakMe will open, now “Slide to Jailbreak” iPad iOS 3.2.1/3.2
5. Wait, as it downloads some data and jailbreaks your iPad. (Note: If you were stuck at the purple screen, reboot iPad and try again).
6. Upon completion of process, you’ll see the below message.
That’s it. Your iPad is jailbroken now. 
Note: The above screenshots are of iPod touch as I don’t have iPad.
Also See: Jailbreaking iPhone 4 iOS 4.0.1/4 with JailbreakMe
I did jailbreak it…The website was always stuck at the purple screen. So i did it with goodreader or ibook
kingstonliu.com/blog. first post is the guide of how i jailbreak my ipad 3.2.1 wifi model with goodreader…
hope it helps…cheers
couple q.s…
1. i heard it takes away warranty..is there a way to get it back
2. would my dad find out about this through the credit card thing on itunes or by looking at it..
3. can i completely undo it and make it look like nothing happened?
Yes just reconnect to iTunes to restore the original iPad os.