Green Dot 2010 Annual Report Download - page 14

Card Products
Green Dot-Branded GPR Cards. Our Green Dot-branded GPR cards provide consumers with an
affordable and convenient way to manage their money and make payments without undergoing a credit
check or possessing a pre-existing bank account. In addition to standard prepaid Visa or MasterCard-
branded GPR cards, we also offer GPR cards marketed for a specific use or market, such as our Online
Shopping card, our Prepaid Student card and our Prepaid NASCAR card.
To purchase a GPR card in a retail store location, consumers typically select the GPR card from an in-
store display and pay the cashier a one-time purchase fee plus the initial amount they would like to load
onto their card. Consumers then go online or call a toll-free number to register their personal information
with us so that we can activate their temporary prepaid card and mail them a personalized GPR card. As
explained below, consumers can then reload their personalized GPR cards using a MoneyPak or, at
enabled retailers, via a point-of-sale process, which we refer to as a POS swipe reload transaction. Funds
can also be loaded on the card via direct deposit of a customer’s government or payroll check.
Our GPR cards are issued as Visa- or MasterCard-branded cards and are accepted worldwide by
merchants and other businesses belonging to the applicable payment network, including for bill payments,
online shopping, everyday store purchases and ATM withdrawals. As of December 31, 2009, Visa and
MasterCard each were accepted at approximately 29 million acceptance locations worldwide. As of
December 31, 2009, our cardholders could complete ATM transactions at approximately 1.4 million Visa
PLUS or 1.0 million MasterCard Cirrus ATMs worldwide, including over 17,000 MoneyPass fee-free ATMs
in all 50 states and Puerto Rico.
We have instituted a simple fee structure that includes a new card fee (if the card is purchased from
one of our retail distributors), a monthly maintenance fee (which may be waived based on usage), a cash
reload fee and an ATM withdrawal fee for non-MoneyPass ATMs. Most of the features and functions of our
cards are provided without surcharges. Our free services include account management and balance
inquiry services via the Internet, telephone and mobile applications. In addition, via an online tool, we allow
cardholders to manage household and other bills and to make payments to companies or individuals.
For regulatory compliance, risk management, operational and other reasons, our GPR cards and
reload products have certain limitations and restrictions, including but not limited to maximum dollar reload
amounts, maximum numbers of reloads in a given time period (e.g., per day), and limitations of uses of our
temporary cards versus our permanent personalized cards.
Co-Branded GPR Cards. We provide co-branded GPR cards on behalf of certain retail distributors
and other business entities. Co-branded cards generally bear the trademarks or logos of the retail
distributor or business entity, and our trademark on the packaging and back of the card. These cards have
the same features and characteristics as our Green Dot-branded GPR cards, and are accepted at the
same locations. We typically are responsible for managing all aspects of these programs, including
strategy, product design, marketing, customer service and operations/compliance. Representative co-
branded cards include the Walmart MoneyCard, the TurboTax Refund Card, the Kmart Prepaid Visa and
MasterCard cards and the Meijer Prepaid MasterCard.
Reload Services
We generate cash transfer revenues when consumers purchase our reload services. We offer
consumers affordable and convenient ways to reload any of our GPR cards and to conduct other cash
loading transactions through our reload network, using our MoneyPak product or through retailers’
specially-enabled POS devices. MoneyPak is offered in all of the retail locations where our GPR cards
are sold. MoneyPak is a cash reload product that we market on a display like our Green Dot-branded GPR
cards. Cash reloads using a MoneyPak involve a two-step process: consumers pay the cashier the desired
amount to be reloaded onto the MoneyPak, plus a service fee, and then go online or call a toll-free number
to submit the MoneyPak number and add the funds to a GPR card or other account, such as a PayPal
account. Alternatively, at many retail locations, consumers can add funds directly to their Green Dot-
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