AGI Benefits :: Stored Value Credit

June 4, 2005

Stored Value Card

Financial and other incentives abound for organizations who implement electronic payroll systems for their employees. The dilemma: what to do with un-banked or un-bankable employees? In the United States alone, this segment of the population exceeds 40 million people.

100% electronic payroll is possible though through our guaranteed issue Stored Value Card system, even to otherwise un-banked or un-bankable employees!

Click on the links below to learn more;

What is the Stored Value Card?

Features of Stored Value Cards

Benefits to the Employer

Benefits to the Employee / Cardholder

How Does it Work?

Sample Clients

What is the Stored Value Card?

• Functions as a "Virtual bank/checking account on a Card"

• An FDIC Insured Account

• Functions as an ATM/debit card at Star, Pulse, Cirrus and Maestro ATM's

• Utilizes Allpoint Network, the nation's largest surcharge-free ATM network (see pages 4 and 5)

• Use at over One Million retail establishments worldwide

• Stores money like a pre-paid phone card stores minutes

(Return to Top)

Features of Stored Value Cards

Our Stored Value Card System features:

• Significant time savings to employer and employee by eliminating paper checks

• Pay service providers, contractors, or vendors in addition to employees

• Fees far below major industry competitors

• Provide benefits, especially those without a bank account

• One-of-a-kind flexibility - allows user to no only pay bills by phone, point-of-sale (POS), or over the internet, but even transfer funds worldwide from card to card

The ability to transfer funds to vendors and suppliers in real time(instantly) regardless of location
Achieve 100% electronic payroll by providing previously "un-banked" employees with this card
Track expenses and the location of those purchases via website and phone in a real-time system
Transfer Money to any bank account anywhere in the World in nearly real-time
Provide Transient employees with an inexpensive phone card that is trackable on the Internet (25 ¢ to connect and 9.9 ¢ per minute)
Access your account via the internet or a toll free 800# and transfer money, pay bills, check account balance or review activity on any issued card
Transfer Money between cards nationally and internationally for a minimal charge
Eliminates costly overdraft fees because unlike its competitors, the account cannot be overdrawn

(Return to Top)

Benefits to the Employer

• Eliminates Paper Check Preparation: Save time, money, and effort by eliminating check stock, envelopes, printing and stuffing. ( ABA estimates this cost at $1.07/check + Postage)

• Lower Bank Fees: Save per check fees charged by banks to process checks.

• Labor Savings: Reduces labor costs associated with processing paper checks and distribution.

• Prevents cost and inconvenience of stopping payment in the event of a lost check

• Lowers risk of check fraud

• Improves morale and employee relations to un-banked employees

• P ay Vendors in real time by issuing stored value card

• Advance cash to employees or associates with expense tracking abilities

• Minimize hassle and employee complaints with fees that are disclosed upfront rather than being hidden in expensive overdraft fees, etc.*

(Return to Top)

Benefits to the Employee/Cardholder

• Provides a valuable security benefit for those who were previously

"un-banked" or "un-bankable"

• Eliminates check cashing fees, which average 2.2% in the United States

3. Reduces money transfer fees for employees sending money internationally

4. Eliminates a special trip to pick up check

Eliminates time waiting in line to cash check or pay bills
Get cash at any ATM 24 hours a day
Pay bills from Card via ACH debit
Purchase goods at over one million retail Point of Service (POS) terminals nationwide
Get cash back with purchase at many retailers for no additional cost
Keeps a records of transactions which can be accessed via phone or internet 24/7
Create chart of accounts for paying reoccurring bills (i.e. monthly rent, phone, power)
IVR, Website, and 800# are accessible both English and Spanish
Access pay stub information via web or phone
Make long distance calls from any phone at a low per minute rate, deducted from the Card
Reduce risk of incurring overdraft fees because unlike other accounts, this cannot be overdrawn*

*Note: Statistics reveal that checking accounts in the United States are overdrawn an average of 6-8 times per year at $25-$35 per occurrence. WinsAmerica cardholders will not be charged overdraft fees because WinsAmerica will not allow a transaction to take place unless sufficient funds are available to complete the entire transaction. This feature is CRUCIAL when evaluating stored value cards of any kind, particularly as it pertains to charges and fees .

(Return to Top)

How does this work?

Step 1

Complete the employer Electronic Payment Agreement / Payroll Processor form .
Decide whether the card will be employer or employee paid - cost: $2.95/mo.

Step 2

Employees who previously received paper payroll checks are informed that their payroll will now be distributed via their WinsAmerica paycard - Educate employees on benefits and advantages of new system.
Employers are recommended to keep a supply of cards on hand to issue to new hires and employees switching from paper payroll to paycard. Cards can be either employee or employer paid.

Step 3 (See graph below)

On payday, employees are paid via ACH transaction the same way employees who have their paychecks deposited into their bank accounts.
Employees can then use card to withdraw cash, pay bills, transfer money, or POS purchases

Stored Value Card Payment Process

Telephone Interactive Voice Response (IVR) Pay Stub includes hours worked, gross pay, total withholdings, net pay, and current balance

(Return to Top)

Sample Clients

• Over 40 customer relationships including Payroll Debit Card programs with major employers including Pomerantz Staffing, Shell Oil, Darden Restaurants, TalentTree, Westaff

(Return to Top)