Prepaid cards have more relevant use cases than ever before. In addition to getting rid of checks, prepaid cards can help organizations simplify compliance, eliminate manual work, lower expenses and reduce the risks associated with paper checks and cash. At this year’s Global Card and Payments Conference, BofAML’s Brian Grech and Katie Smith talked about the bank’s investment in Prepaid — and a new mobile app for cardholders — and outlined many scenarios where using prepaid cards make great business sense.
AUTO CONSUMER REBATES
Challenge: A large automaker wanted to move away from paper rebate checks due to the cost, limited branding opportunities and customer dissatisfaction.
Solution: BofAML designed a loyalty/award program that replaces unbranded checks with a branded card. This has reduced our client’s costs and deepened their customer relationships.
HEALTHCARE PATIENT REFUNDS
Challenge: A major managed care provider wanted to get out of its costly, unpopular escheatment process for patient refunds.
Solution: BofAML created a Consumer Refund program that eliminated mailed checks in favor of personalized prepaid card packages that clearly explain the purpose of the refund. We also improved their customer servicing with a dedicated bank team.
MEDICAL CLINICAL TRIALS
Challenge: A cancer center wanted to eliminate the risks and administrative burden of paying clinical trial participants in cash.
Solution: BofAML helped the cancer center switch from cash to non-personalized prepaid cards, which are shipped to facilities in bulk. The cards are then loaded with funds and registered online when they are issued to participants.
SALES TEAM INCENTIVES
Challenge: A multinational appliance maker wanted to engage its salesforce by enhancing its incentive program without abandoning its existing vendor.
Solution: BofAML rolled out a new program that includes personalized cards and our client’s brand, along with lower fees and seamless integration with the existing vendor’s infrastructure.
ATHLETIC PER DIEM
Challenge: A major university wanted to eliminate the risk of coaches and student-athletes handling large sums of cash during sporting road trips.
Solution: BofAML tailored a hybrid business/consumer solution that enables coaches to book hotel rooms and athletes to buy food. Enrollment is automated, and program managers can control the types of merchants where the cards can be used.
DISASTER RELIEF PAYMENTS
Challenge: An educational institution wanted the ability to support employees affected by a hurricane.
Solution: BofAML launched a new emergency payments program that delivers non-personalized cards to the client on the second business day. Our web portal supports real-time card issuance and loading.