Benefits:

Open The Doors to Economic Participation.

An estimated 100 million Americans are considered unbanked or underbanked. These are individuals who have no bank account or have limited or no access to credit. Many of these Americans are forced to rely on a combination of cash, money orders and pay-day loans. Network branded prepaid cards allow these Americans, many of whom are minorities, access to our increasingly card-based economy and provide an improved sense of control and empowerment.

Promote Financial Responsibility.

For many Americans, prepaid cards serve as a tool with which to more effectively budget their spending. With a prepaid card, consumers avoid the risk of over-spending or overdraft, thus avoiding the interest, fees and potential negative credit score implications of traditional credit cards. And for parents, prepaid cards provide tools to maintain control over their teens' or college students' spending.

Provide Cost-Effective Convenience to Governments, Businesses and Consumers.

Many US households have used a prepaid card in one of its forms. Today businesses use prepaid cards to deliver payroll, provide and track health benefits and as a reward or incentive to employees and customers. Governments use network branded prepaid cards to deliver benefits to those who are eligible, as well as to disperse disaster relief funds in a more easily tracked, cost-effective and expeditious manner.

Provide a Safe and Regulated Alternative to Credit or Cash

Network branded prepaid cards are issued by highly regulated financial institutions, each having to comply with federal regulations from the Federal Reserve Board, the United States Treasury, the Office of Thrift Supervision and the Office of the Comptroller of the Currency, among other regulators.

These benefits result in strong consumer satisfaction.

NBPCA research shows that more than 80 percent of consumers are satisfied with their prepaid card experience, and direct interviews show a high frequency of cardholders who would recommend the product to their friends and relatives.