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Products January 7, 2003
Visa Offers New Payroll Card Option
July 25, 2001 (PLANSPONSOR.com) - Plan sponsors now
have another payroll option, one that allows employers to
deposit employees' pay directly into a prepaid Visa card
issued in the name of the employee.
Reported by Camilla Klein
The new bank-issued payroll card aims to assist
employers in reducing costs associated with producing,
handling and distributing paychecks as well as the
re-issuance of replacement checks in cases of loss or
theft, which the American Payroll Association, estimates at
$48 million annually.
The card is safer than carrying cash and can be replaced if lost or stolen, as all of Visa’s consumer security protection policies apply to the Visa Payroll card, including its Zero Liability policy, which eliminates liability of card fraud, according to the company.
Visa and the financial institutions that offer the card, will provide employers with information kits, which can be customized, to help educate their employees about the product.
The program is available from Bank of America, Bank One Corporation, First Tennessee National Corporation, FleetBoston Financial and US Bancorp.