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Stored Value Program
for Employers

Our SVC Employer Program provides these card products and services:

Personal Spend Card — Payroll Card
Instant Issue Card for Off-Cycle Payments
Termination Pay
Gift Card
Promotion Card
Incentive Card
Corporate Expense Card
Purchasing Card
Fleet Card
FSA, HSA and/or HRA Card (either a separate card or combined with our Payroll Card)
Epay Stubs

An Employer can pick and choose from the products and/or services that best meets its needs.

Datazoid Card Products for Employers

The Personal Spend Card

We call our most basic debit card the Datazoid Digital Money “Personal Spend Card”. This card is the foundation of all of our card products. Our Personal Spend Card is equivalent to a Check Card except that a check card is issued to persons with checking accounts, and those accounts are used to fund the card. Our cardholder doesn't need a checking account, and only those funds that the cardholder loads onto the card can be spent.

In the marketplace, this type of card comes in various flavors, including the payroll card, government benefits card, teen card and cash card. Some of our Personal Spend Cards bear a particular company or organization's name, in order to help market the card.

With these "basic ingredients" you can write your own recipe, and develop cards in a variety of different flavors.

Let's take, for example, an employee who purchases a Datazoid Digital Money Card. This employee can have their net wages loaded onto their card by their employer via direct deposit. Because of this, some refer to this type of card product as a “payroll card”.

But the Datazoid Digital Money Card is more. Our card can also be reloaded by employees using other options. Many cards marketed by our competitors as payroll cards are less flexible— they can only be loaded via direct deposit. We are also developing ways for a cardholder to use their account as an HSA, HRA and/or FSA account.

Government beneficiaries can also have their government funds loaded onto the card via direct deposit. In fact, cardholders can receive benefits from more than one government agency in addition to wages from their employer loaded onto their Datazoid Digital Money Card. While some marketers offer only a “government benefits card”, our card can also be loaded by other means.

Corporations can also purchase Personal Spend Cards and issue them to their employees to use a Corporate Expense Cards. Our Corporate Expense Card provides the Employer with more control than that provided by a credit card.

Although our Companion Card, Gift Card and Instant Issue/One-Time Expense Card are actually variations of our Personal Spend Card, we list them as separate basic card types, and they in turn are used to build many of the card products that are used to develop a particular type of SVC Program.

Related Topic: Overdraft Protection Program

Payroll Card — Our Payroll Card is a version of the Consumer Card that is marketed to employees through their employers. About 50% of all employers in the United States do not yet take advantage of the cost savings available to them through 100% direct deposit of their payroll.

On average, about 20% of a company’s employees will not be able to accept their net wages via direct deposit because they do not have a bank account. Our payroll card can be issued to those employees and allow the employer to load the employee’s net wages onto the card via direct deposit.

Cards loaded in this way offer the cardholder/employee the advantage of overdraft protection and reduce their exposure to the predatory payday lending practices commonly used by check cashing companies. Another advantage of this card is that the employee can also load their card via Retail cash loaders and from another demand deposit account, using our convenient account-to-account funds transfer service.

Our Payroll Card comes with all of the features and functionality of our Consumer Card, but is distinguished by the way in which the card is marketed and sold.

Epay Stubs is a service provided by Datazoid that further reduces an employer’s payroll costs. Direct Deposit eliminates the physical printing and distribution of paychecks, but the administrative burden of distribution and printing of pay stubs remains. It has been reported that it costs ten times as much to generate a paper pay stub than it does to produce an electronic version. The electronic paycheck stub, which we refer to as our Epay Stub service, is an alternative that extends and improves the efficiency, convenience and cost savings that companies have experienced through Direct Deposit. Electronic pay stubs meet State requirements for providing pay stubs to employees (with the exception of Delaware, which still requires a physical pay stub).

The benefits to an employer for including Epay Stubs are:

• Saving time by eliminating preparation and mail distribution
• Saving money by eliminating postage and administrative costs
• Eliminating the need to reproduce lost pay stubs
• Ensuring on-time delivery of payroll information
• Offering another channel for viewing wage information. This may be perceived as a human resources benefit, increasing the ability to attract and retain employees.

The Instant Issue/One-Time Expense Card

Our Instant Issue/One-Time Expense Card is designed to be used by Corporations/Employers involved in issuing paper checks for various “single event” activities, such as termination pay, bonuses, expense reimbursements, claim checks, etc.

An Employer/Corporation keeps a number of these cards on hand, and instead of issuing a paper check, the company loads funds onto the card in real time via electronic funds transfer from an Employer/Corporate demand deposit account. The card is given to the recipient on the spot. The recipient can immediately use the card to withdraw cash from an authorized ATM. The savings to an Employer or Corporation can be substantial, as paper checks can be very expensive to issue.

This card is similar to a Gift Card, except that the Gift Card is typically personalized with the name of the recipient.

Termination Pay Card — A form of Instant Issue Card, the Termination Pay Card is a single-application card-based solution that an employer can use for a variety of off-payroll or single-pay issues, such as payment of an employee’s net wages upon termination; bonus payments; spot awards or other types of one-time payments.

This card is similar to a Gift Card — although, of course, the phrase "Gift Card” doesn’t appear on the card. This card replaces the need for employers to issue paper checks for out-of-cycle payments to employees, saving both time and money.

A key attribute of this card is that it allows an employer to immediately issue a card to an employee with value already loaded on the card. This card does not have the employee’s name embossed on it, and for security purposes, we can issue the card without the card association brand mark, and as PIN-based products.

Gift Card — Gift Cards have become very popular and are fast replacing paper Gift Certificates. More than $100 billion is spent annually on Gift Certificates in the United States. According to a recent ValueLink annual consumer survey on gift cards 79% of consumers are aware of gift cards and 37% use them.

Recently, personalized Gift Cards became available. Imprinted with the name of the cardholder, these cards include the brand mark of one of the major card associations, which allows the recipient to use the card anywhere the brand is accepted. Old-style Gift Cards can only be used at the Merchant bearing the name of the card. The Datazoid Gift Card is purchased by a family member, friend, or associate and sent directly to the recipient as a gift; Gift Cards can also be shipped in bulk to the gift giver. Cards can even be issued with a unique value, rather than the traditional denominations.

Our Gift Card is similar to our Consumer Spend Card except that a Gift Card cannot be reloaded or renewed after it expires.

A potent loyalty/rewards tool, the Gift Card can be co-branded with the name of the Employer. We also offer a variety of slogans and custom card designs to further enhance marketing and branding. We can even include a customized message underneath the name of the cardholder: Happy Anniversary, Congratulations, and so on.

The Gift Card is a type of Consumer Card that cannot be reloaded and, bears the phrase “Gift Card” on its face to help distinguish it from a reloadable Consumer Card.

Datazoid can even limit where the card can be used through Merchant ID codes, and can integrate Gift Cards into loyalty/rewards programs.

For information about a variation on the technique of limiting use to specific merchants, read about the Datazoid Mall Gift Card.

Promotion Card — A Promotion Card is a flavor of Gift Card that is used to promote a specific event.

This kind of marketing has a proven track record. One success story: Dr Pepper launched a sweepstakes featuring instant-win cash prizes that could be claimed and spent immediately online. During the sweepstakes, "Dr Pepper peel-off” game pieces were placed on specially-marked 32-ounce and 44-ounce fountain cups in fast food and quick-service restaurants across the country. Each game piece had a unique “e-code” which the consumer entered online for a chance to win one of hundreds of $25 prizes, or a grand prize of $10,000. Customers could click-and-claim their cash prize online, and receive a virtual VISA® number. That number was linked to prize funds that could be spent anywhere VISA is accepted online.

A Promotion Card from Datazoid can be integrated into sweepstakes like this, or other marketing or community service events. Datazoid can provide the online support and fulfillment services as well as cards for those times when a physical reward is more approriate.

For a simpler promotion, Merchants/Retailers and/or Affinity Groups can issue Gift Cards with a customized slogan that promotes an event like Earth Day or a new poroduct launch.

Incentive Card — An Incentive Card is a type of Gift Card that is typically issued by an employer as part of an incentive program; meet a particular sales goal and receive a $200 Gift Card with a message like “Congratulations on achieving your sales goals”.

Corporate Expense Card — The Datazoid Corporate Expense Card is a combination Consumer Card and Companion Card. This card is designed to replace Corporate Expense Credit Cards. Cards are purchased by an Employer or Organization and issued in the name of a particular employee. Only the Employer/Organization can fund the card. And because the Employer/Organization is funding the card, they can also view card transaction history to ensure that the card is being used in compliance with program policy.

Purchasing Card — The Datazoid Purchasing Card is a type of Corporate Expense Card that is primarily used by a business as a better way to manage business purchases. With our card, businesses can save time and money by streamlining a labor-intensive purchasing process. Paperwork can be reduced or eliminated, and management can exert both front- and back-end controls through our card authorization system and reporting tools. The chart below explains how our card works.

Fleet Card — The Datazoid Digital Money Fleet Card is a type of Corporate Expense Card that your company can use to track spending patterns, regulate card usage and gain access to one of the largest fuel networks in America.

Using our Fleet Card, you can set spending parameters for each cardholder including spending limits, daily dollar limits, and much more. All of your transaction data is compiled into a single online source, making it easy to reconcile your statement and track spending patterns.

Now you don't have to worry about acceptance or carrying multiple cards. The Datazoid Digital Money Fleet Card is accepted at every major oil company in America that accepts cards bearing one particular card association brand — more than 107,000 locations nationwide. This card is also accepted at more than 10,000 truck stops and service centers, and can complement your bulk, mobile and unattended fueling programs, making it truly unique to the industry.

Plus, the Datazoid Fleet Card gives you control; you can choose to manage either the driver or the vehicle, assign driver numbers to track spending patterns, limit cards to prompting locations, and instantly block and unblock cards.

And if you want, this functionality can be incorporated into your Corporate Expense Card.

Flexible Spending Arrangement/Account (FSA), Health Savings Account (HSA), and/or Health Reimbursement Arrangement/Account (HRA) Card — As employers continue to shift more healthcare costs to employees, innovative consumer-driven options are being created, such as a debit card that can be used with a flexible spending account (FSA), health reimbursement account (HRA) or health savings account (HSA). Employees enrolled in FSA, HAS and HRAs can use their card to pay for services or items covered under their benefit program without having to write checks or provide identification to complete payment.

For years, millions of employees have had access to Flexible Spending Arrangement (FSA) accounts, which allow them to put aside pretax money from their paychecks to pay for medical costs that their insurance won’t cover. But most people don't sign up, annoyed by the time and paperwork it often takes to get access to the money.

In 2003, an IRS ruling handed down prompted a number of companies to issue debit cards that take the money directly out of the account when they are swiped at the doctor's office or pharmacy, eliminating much of the difficulty involved.

The federal government also permits similar tax-free accounts for certain commuting expenses and child-care fees, and some employers are starting to offer debit cards tied to those expenses as well. Since the dollars that workers contribute to these accounts are not taxed, employees can trim their tax bill substantially by paying their doctor's bill or monthly train pass using this type of account.

Interestingly, employees can't get a debit card that can be used for this purpose unless their employer gives them one.

A Flexible Spending Arrangement (FSA) account may be funded by the employer and/or the employee via salary reduction. FSAs may be offered to employees — however, self-employed persons are not eligible. Funds must be used for qualified medical expenses and balances may not be carried forward. FSA coverage may not continue if the employee terminates service, unless continuation coverage is elected under COBRA. FSAs are not portable.

A Health Savings Account (HSA) is a tax-exempt account created exclusively to pay for the qualified medical expenses of the account holder and his or her spouse or dependents. HSAs are considered the newest tax-favored medical savings accounts and are permanent, portable and available to everyone — individuals and employers — with qualified high deductible medical plans. An HSA must be set up in conjunction with a specific type of High Deductible Health Plan (HDHP). The HDHP must have an annual deductible of at least $1,000, with an out-of-pocket limit not greater than $5,000. For family coverage, it must have an annual deductible of at least $2,000 and an out-of-pocket limit not greater than $10,000. Deductibles are not required for preventive care, and out-of-pocket maximums may be higher for out-of-network care. HSAs do not require employer involvement and they can be funded entirely by the employee or by a combination of employer and employee dollars. HSA contributions may be made by employees on a pre-tax basis through a Section 125 Plan (a plan authorized under Section 125 of the Internal Revenue Code), or may be made directly by eligible individuals and deducted from gross income. Earnings on amounts held in an HSA accrue tax-free. HSA funds are held in an IRA-like account for the exclusive use of the participant, so they are fully portable. When employees terminate, they take their unused HSA funds with them.

A Health Reimbursement Arrangement[/Account] (HRA) is an employer-funded account that reimburses employees for qualified medical care expenses. An HRA may be used in conjunction with any type of Health Plan, but is generally linked to an HDHP. An HRA must be established and funded solely with employer dollars. At the employer's discretion, an HRA may allow employees to roll over unused funds from year to year, or allow terminated employees to spend their unused balances. HRAs do not need to be pre-funded.

Employers have a good reason to encourage workers to set these accounts. Employer contributions to HRAs and HSAs are not subject to income, FICA, Medicare, or FUTA taxes and can save employers hundreds of thousands of dollars, depending upon the number of employees that take advantage of these accounts.

Datazoid, along with third-party plan administrators (TPAs) that work with us, can assist you in determining what type of program, if any, best meets your or your employee’s needs. If you decide to offer your employees one of these programs, we can configure our Datazoid Digital Money Payroll Card to include multiple accounts linked to a single card; FSA, HSA, and HRA, plus the account that is loaded with the employees net wages via direct deposit. Using the Datazoid Digital Money Payroll Card will simplify the administrative functions of an FSA, HSA, and HRA plan making these programs more attractive to your employees, and in turn, will increase your plan participation. Instead of using a check, cash or credit card to pay for services, prescriptions, or childcare, employees present their Datazoid Digital Money card to the merchant. The merchant swipes the card through an ordinary credit card terminal, the transaction is authorized, and the amount of the purchase is deducted from the employee’s account. The health plan or employer can determine which account is reduced first when the card is swiped and will automatically reduce that account until the balance in that particular account is depleted. Then the system will begin to reduce the next designated account.

Employees no longer have to pay for services out of pocket at the point of sale and then wait to be reimbursed. Designated funds are accessible and can be used immediately. In most cases, employees no longer need to fill out forms and submit hard copy proof of purchases for substantiation and reimbursement.

Offering a Datazoid Digital Money Payroll Card that is also linked to FSA, HSA and HRA accounts is great way for you to differentiate your company by providing a more efficient way for your employees to access these accounts.

Datazoid Services

In addition to card products and SVC Programs, Datazoid offers a number of related support services:

Business Development & Marketing
Project Management
SVC Program/Card Fulfillment
SVC Program/Card & Customer Servicing
Software Development & Systems Integration

Business Development & Marketing — Datazoid can assist our clients in developing card programs that not only save them time and money, but in certain instances, can even be used to increase the sales of their products and/or services. We prepare various types of collateral marketing materials, including brochures that explain our various card products and SVC Programs, cardholder enrollment kits, training materials, targeted marketing messages.

Project Management — Datazoid can help you develop an SVC Program from the various card products and services that we offer that best meets your needs. We can then manage or assist you in managing that program. Datazoid offers turnkey SVC Program setup and management.

Card Fulfillment — Datazoid provides Web-based software tools and forms to help you enroll cardholders and card delivery. We can assist you in designing your own named card or co-branding the Datazoid Digital Money Card and in the printing and management of our card inventory.

Card & Customer Servicing — Datazoid sets the cardholder fees for you, performs all of the transaction processing related to a given SVC Card Program/card product and fee collection, and all of the associated customer service.

Software Development & Systems Integration — What helps set us apart from our competitors is that we can also develop custom software to support your SVC Program/card products and provide the systems integration skills required to make those efforts a success. We can help you modify your Web site to provide a seamless link to our online enrollment and cardholder servicing tools. And if necessary, we can help you develop your own Web site to market/sell your card products.

Starting Your Program

This is the process we follow in developing and implementing our SVC Employer Program (emphasizing our Payroll Card, which is our most popular card product for Employers):

1) Your company signs letter of intent with Datazoid to develop a stored value card (SVC) employer program

2) Datazoid develops an SVC employer program for your company

3) Your company approves the SVC employer program and Datazoid’s employer services agreement

4) Datazoid installs your company on our system

5) Datazoid provides your company with training on how to enroll employees and implement the other card products selected by company

6) Datazoid provides your company with employee marketing materials and sign-up kits

7) Your company solicits employee participation in the SVC employer program

8) Your company collects completed employee authorization forms

9) Your company submits enrollment information (online or batch)

10) Datazoid processes enrollment information and issues cards to your employees and transmits cardholder account information to your company to facilitate direct deposit

11) Participating employees receive their cards via the mail

12) Your company implements direct deposit for participating employees and notifies the employees

13) Employees activate their cards via ivr or the web and use their cards to access their net wages

14) Your company provides financial literacy training, including explanation of the overdraft protection program (ODP) feature within one month of the date direct deposit is implemented for participating employees

15) Employees may opt out of ODP before ODP feature is activated or at any time after card has been activated by filing a simple form

If desired, an Employer can co-brand any of the card products we offer as part of this program.

Want to Learn More About Our SVC Programs?

For more information about our SVC Programs and Reseller Opportunities, you can contact David Schnepp via our Contact Form, or call him at 310-345-7412.



Account Access:
Employers
Marketing Partners
Resellers

Frequently Asked Questions:

What is a Stored Value Card?
How does a payroll card work?
How do I manage my accounts?
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Datazoid Stored Value Cards are marketed by Datazoid Enterprises, LLC Series B dba Datazoid Financial Services (DFS), a Delaware Series Limited Liability Company. Read more About Us...

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