Alliance & Leicester offers prepaid card for public sector
16th March 2007
UK banking group Alliance & Leicester Commercial Bank has announced the launch of its Visa prepaid cards, in association with MoneyCard Limited, designed specifically to meet the needs of the public sector.
Stewart Fraser, director of prepaid cards at Alliance & Leicester Commercial Bank,said: "The prepaid card offers a really effective money distribution solution by replacing the uncertainties of cash, checks or paper methods with a controlled and easy to administer system. Alliance & Leicester Commercial Bank is able to provide everything financial managers require in banking terms - supported by a dedicated public sector relationship management team."
The prepaid card is particularly advantageous for the public sector as it can be used to deliver direct payments without the need of the beneficiary to hold a bank account. Once the card is loaded, it works exactly like a debit card.
The new product can now reach the estimated three million people without access to any banking facilities, permitting use at virtually all retail outlets displaying the Visa logo, as well as cash withdrawals and internet purchases.
Once funded by the responsible public sector department, the prepaid cards, which are chip and PIN-enabled, can be used for transactions for up to three years, or until the allocated funds are exhausted, but they cannot be overdrawn.