Credit unions which offer prepaid card through credit processor FIS will soon be able to offer those cards with rewards points.
The card processor for the majority of CU credit card programs has announced that it will release a version of its ScoreCard Rewards program for prepaid cards.
“By rewarding card usage and desired payment choice with highly sought after merchandise awards, cardholders are motivated to choose their prepaid card first for everyday spending and major purchases,” FIS said. “Card portfolios become more profitable from increased transaction revenue and the effects of longer-term account relationships.”
The firm cited the increasingly competitive market for prepaid cards as driving the move.
“As prepaid card competition continues to increase, companies are continually looking for products and services that will provide a competitive edge for their programs,” the processor explained. “ScoreCard Prepaid Rewards is designed to increase transactions, market share and profitability on existing and new card accounts.”
FIS said cardholders will accumulate ScoreCard Prepaid Rewards Bonus Points for every net dollar spent on qualifying purchases when their card is used for everyday transactions, as well as large purchases.
The first firm to use the points will be the Ready Financial Group, an issuer of Visa prepaid cards through FIS nationwide.