Credit/ Debit Cards

What are prepaid cards?

Simply put a prepaid card is a debit card without an associated bank account.

A cardholder can use it in exactly the same way as a debit card, to purchase products and services both online and on the high street. A card that carries the MasterCard® brand can be used to withdraw cash at an ATM at over a million places worldwide, make a website transaction, or make a point-of-sale payment at 26 million locations around the world.

Prepaid cards make purchasing more convenient than cash or cheques whilst being protected by high standards of security. For businesses the cards provide fast cash disbursement, reduced fraud and risk, and a streamlined settlement process.

Companies also have a great deal of control over the prepaid cards they use, as unlike credit cards, the cardholder can spend only what has been loaded onto the card and the funds on the card can be reallocated instantly. It is the flexibility of prepaid cards that make them such an exciting product for businesses.

How do prepaid cards work?

Whilst a cardholder's prepaid card experience is similar to that of a debit card, there are differences in how funds are loaded onto the cards and how account reconciliation operates.

Prepaid cards can be loaded in a number of ways. Businesses will often choose a primary loading system, such as loading cards directly via their bank for payroll applications or via their web interface in the case of emergency payments.

As soon as physical funds are loaded into the FNXPay account, we ensure the card is allocated the required spending facility.

The cardholder can go online and check they have the money on their card or, should a programme owner have requested the facility, mobile messages can be sent to let them know the new balance.

If the business has allowed the cardholder to do so, the cardholder can then withdraw cash at an ATM, make a point-of-sale payment at any of the 25 million locations around the world accepting the MasterCard® brand or use a secure website to make a transaction.

Sometimes a business will choose to restrict its cardholders by only allowing certain types of point-of-sale transactions and not allowing ATM withdrawals or online transactions.

Once a transaction has been approved, an advisement will be sent to MasterCard. Settlement is made with MasterCard once every banking day.

What is a prepaid card programme?

A prepaid card programme is a managed service delivered by a programme manager for a client. The programme manager coordinates the arrangement of services, networks and card parameters to build a programme to meet the client's specific business needs.

PSCL, as a programme manager, has developed a number of programmes tailored to differing business needs and as the programmes vary, the business partners we work with have differing levels of involvement. We integrate the elements of a programme into a framework of supporting services to meet the specific requirements for a strong, secure, and successful programme.

There are three key partners that we consistently work with who are at the core of all our programmes; FBME, MasterCard® and Phoenix IT Dept. They each play an important role as the issuer, the payment scheme and the processor respectively:

-The Issuer issues the cards, controls the balance of money within a prepaid solution, and is responsible for the movement of funds with the payment Scheme.

-The Scheme provides the payments network whereby cards are accepted as a payment mechanism worldwide.

-The Processor is responsible for the logistical set of networks, computer programs and systems that allow a prepaid solution to function.

 

Supporting elements

In addition to the three key elements, PSCL integrates other services and networks into a programme as required. This provides a programme with the range of additional services needed to provide the optimum prepaid solution in the most cost-effective way.

Account reconciliation, cardholder management systems, reporting, card security and customer support provide the backbone to any prepaid card programme. PSCL programmes offer a range of additional services, including white-labelling, packaging, card loading facilities, choice of currencies and payment systems.

The diagram "The integrated prepaid solution"" shows some of the supporting elements around the Issuer, Scheme and Processor that PSCL integrates into a prepaid programme.

What will having my own card program mean to my business?

With such a flexible payment product the benefits are numerous. Whatever sector of business you operate in you will be able to take advantage of prepaid card solutions.

Attract new customers
Prepaid cards are a great way to reach new customers because they're more widely accepted, more secure and more convenient than cash, helping you to grow and strengthen new and existing relationships.

Establish new revenue opportunities
with unrivalled point of sale and ATM acceptance around the world, prepaid cards can meet your customers' needs while improving your financial return.
 

Improve cash management
Cash floats, advances or petty cash can be rendered obsolete.
 

Simplify administration
Reduce related costs when issuing multiple cheques and avoid bank transfer fees.
 

Take advantage in new markets
Position your company to capitalize on the growing consumer demand for prepaid products in new markets, such as financial services cards for the under-banked and migrant workforces, travel cards and loan solutions.
 

Make use of the MasterCard® brand
The MasterCard family brings with it a host of globally recognized payment products offering compatibility, brand visibility and security.
 

Tighten spending controls
Control types and levels of spending, whilst compiling invaluable data for budgeting and negotiating preferential rates.