Ask these players in the prepaid card market why your credit union might want to add this option to its card offerings, and here’s what they’d say:
CUES member Karen Jurasek, president/CEO of $16 million Generations Credit Union, Rockford, Ill.
It provides a virtually fail-proof means of money management for members who might be prone to overdraft fees and overspending. Further, it affords a risk-free opportunity for youth to learn valuable life skills.
Sarah Bohan, VP/corporate relations for $2.4 billion Michigan State University Federal Credit Union E. Lansing
Reloadable cards could be used by students with limited income, or families with young teens learning about managing money. Parents can utilize the reloadable card as a method for providing their children with their allowance. Individuals can also use a reloadable card as an alternate payment option for when they are traveling. Most credit unions, including MSU FCU, offer different products that will also assist members with these needs, but the reloadable card is another option for members to consider.
Nikkee Rhody, VP/agent products, Meta Payment Systems, Sioux Falls, S.D.
“Credit unions are well positioned to help bring consumers back into the traditional financial service model,” she says. “In addition, the market for disenfranchised consumers—those that have limited or no ties to a financial institution—is real.”