NetSpend 2014 Annual Report Download - page 8

Digital innovation is core to our issuing and acquiring clients’ strategies, and we’re making
it easy to access third-platform technologies like mobile, social, big data and the cloud.
combine apps, marketing, loyalty and payments
in a bundled offering. Payments will be just one
piece of an overall solution to help merchants grow
their businesses. Our services give merchants the
power to run and analyze a business on an easy-to-use
iPad®, encrypting all transactions at the point of swipe
for secure transactions. While the older single-purpose
payments terminals will not disappear altogether,
businesses will be looking for a more nimble POS that
serves multiple functions like inventory management,
order input, order-ahead capabilities and more. We
expect to see this transition and upgrade cycle over
the next year or two as the deadline for merchant
adoption of EMV approaches.
Consumers
NetSpend® has dedicated the last 15 years to giving
consumers the ability to choose how, when and
where they bank. Its mission to empower consumers
with the convenience, security and freedom to be
self-banked is a perfect fit with TSYS’ People-Centered
Payments commitment. Last year, NetSpend announced
an agreement with Walmart® to place its branded
prepaid cards in more than 4,300 retail stores across
the United States. Joining forces with a leading
consumer brand like Walmart speaks volumes
about our reputation in the general-purpose
reloadable (GPR) industry.
NetSpend also partnered with Western Union®
to launch an innovative co-branded card that
brings cardholders the dual benefits of money
transfers with card-linked conveniences, rewards
and offers. Cardholders can also send or receive
money transfers, top up or reload cash, and
pay bills in minutes anywhere they can access
their accounts.
Another consumer win in 2014 was the launch of
Brink’s® Prepaid MasterCard, which appeals to
consumers seeking peace of mind with a secure
and stable bank alternative from an established
and trusted brand. Cardholders enjoy access
to many convenient and flexible features to
accommodate their busy, on-the-go lives,
including round-the-clock access to their
accounts online and the ability to load funds
at one of NetSpend’s 130,000 reload locations.
In 2014, one issue in the prepaid spotlight was the
Consumer Financial Protection Bureau’s (CFPB)
proposed rules outlining basic consumer protections
for GPR prepaid cards. Before the Bureau finalizes
the rules, it will take comments through March 23,
2015. Then it must review those comments and
decide which to include in the final rules. With
that timeline
— and the 12 months proposed
for implementation on existing programs
— we
don’t expect the final rules to become a market
reality until mid-2016. NetSpend will participate
independently and in concert with industry
groups during the comment period.
NetSpend is a fantastic, growth-oriented company
with great management and a team who is committed
to the customers they serve. With convenient places
to buy and reload its products from marquee retail,
pharmacy, dollar and grocery providers nationwide;
more than 85,000 trusted employers and partner
locations distributing our products; and a wealth
of innovative features and fee plan options
— it all
adds up to making NetSpend the card of choice for
millions of self-banked customers and the brands
that serve them.
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