In an opinion piece for the PayThink section of PaymentsSource, Mastercard Prepaid Product Manager Andrew Gillen, references the Direct Express® program as he outlines the advantages of electronic payments over paper check systems, particularly in saving individuals and families from check-cashing fees. Gillen points out that these fees can run at about “$15 to $23 in order to cash the average Supplemental Security Income check of $770“.
This is certainly one of the benefits that Direct Express® brings to its cardholders. The article underscores the fact that alongside the effect on financial capability of keeping “more money in the pockets” of benefits recipients, there are other significant benefits, saying:
But the best advantage of all for payees is that they can access their funds on the card for free to make purchases or pay bills in person, online, or by phone, and to withdraw cash – again, for free – at virtually any bank branch in the country or at tens of thousands of in-network ATMs. Prepaid benefit and payroll card programs like these can help cardholders save – regardless of the brand of the card.
The full article can be seen here:
PayThink: Automated payments can free consumers from check-cashing fees
SOURCE: PayThink/Mastercard