Low-Cost and No-Cost Digital Transaction Services

Thanks to the proliferation of such financial-service technologies as mobile wallets and peer-to-peer and e-cash payments, especially during the COVID-19 pandemic, banks and other financial technology providers have closed the gap on underserved consumers’ access to financial services. Providing underserved consumers with access to financial services technologies eliminates banking deserts by providing a convenient way for them to receive, hold, and spend their funds in a secure manner.

• Prepaid products – A prepaid card is used instead of cash when making a purchase. The payment card has a monetary value stored on itself, not in an account managed by a bank. Prepaid products provide cost-effective, convenient, and innovative payments solutions for millions of consumers.
  • Visa, Mastercard, Discover, Bluebird (American Express), Money Network (Fiserv)
• E-cash – E-cash allows consumers to make a purchase online and then complete the transaction at a physical payment point by paying with cash — no credit card or bank account details needed.
  • Paysafecash and Paysafecard (Paysafe Group)
  • Amazon Paycode (Amazon)
  • PayPal Cash and PayPal Cash Mastercard (PayPal)
• Peer-to-peer (P2P) payments – P2P providers allow account holders to transfer funds to others via a mobile phone app. In most cases, the transfer of payment is free for the user and comes directly from their P2P account, which can be loaded directly with cash or transferred directly from a bank account or credit card (which the user has linked to the mobile application).
  • Venmo (PayPal), Cash App (Square), Apple Pay Cash, Zelle (Early Warning Services)
• Mobile wallets – Mobile wallets offer many benefits, including strong security, without any fees. These digital wallets require a passcode, fingerprint, or facial recognition before a transaction can occur, and thus are highly secure. More than half of U.S. consumers have downloaded mobile card apps and use them on a weekly or even daily basis.
  • Apple Pay, Android Pay (Google), PayPal, Amazon Pay, Google Wallet
• Bank accounts – Most ETA members offer free bank accounts with no monthly service charge, no monthly balance requirement, and access to thousands of ATMs.
  • Discover’s Cashback Debit
  • Capital One 360
  • FIS Mobile Banking Services – Consumers can access an existing bank relationship to make mobile deposits, transfer funds, initiate P2P payments, and more.
  • Bank On – The Cities for Financial Empowerment Fund’s Bank On initiative works in conjunction with financial institutions to connect consumers to safe, affordable bank accounts with low balance minimums, minimal fees, and no overdrafts.
• Other modern digital transactions services
  • Amazon Paycode – allows customers to choose Amazon Paycode at checkout and then pay for their purchase in cash at one of 15,000 Western Union locations
  • Amazon Cash – enables customers to load cash on their Amazon Balance for making online Amazon purchases; now available in over 100,000 Walgreens, CVS, Game Stop, Rite Aid, and 7-Eleven locations nationwide
  • CreditWise (Capital One) – provides unlimited access to your credit score and digital features to help you monitor your score for potential signs of fraudulent activity
  • Same-day payroll – allows workers to be paid daily, helping to control cash flow

In addition to affordable products and services, many ETA members offer free financial literacy, budget-tracking, and readiness apps and programs to strengthen consumers’ control over their finances.