New Member Profile: Cardtronics/Allpoint Network
February 27, 2018
The NBPCA has members that represent all parts of the prepaid value chain. One of the Association’s newest members is Cardtronics, an ATM owner and operator. Cash access is a critical service for prepaid cardholders, and Cardtronics’ Allpoint network provides surcharge free access to cash for many prepaid programs. NBPCA spoke with Tom Pierce, Cardtronics’ chief marketing officer, about the role the company plays in the prepaid industry and what the future holds for the prepaid business.
What is your company’s role in the prepaid market?
Tom Pierce, Chief Marketing Officer, Cardtronics: Through our Allpoint Network subsidiary, Cardtronics provides holders of participating prepaid cards access to more than 40,000 surcharge-free ATMs across all 50 U.S. states and every major metropolitan market. As the largest surcharge-free ATM network in the U.S., Allpoint enables cardholders to withdraw cash without paying a surcharge, check balances. Issuers can also take advantage of customized branding and messaging opportunities on our ATMs.
With Allpoint, card issuers can enhance customer penetration, address “free and clear” compliance for payroll and EBT cards, and augment the functionality of their payroll card, prepaid ATM/debit and other stored-value card offerings.
What kinds of prepaid programs do you support?
Pierce: Allpoint Network and Cardtronics work with all types of prepaid card programs – payroll, government assistance, gift cards, general purpose reloadable cards, etc.
What kinds of special features do your programs offer?
Pierce: Allpoint is the largest single surcharge-free network in the U.S. – giving card issuers an edge over competitors participating in smaller networks. A highly valued feature for issuers is the density of coverage inherent in our network. Network-wide prepaid card functionality is available at every machine, and users can find an Allpoint ATM at seven of the top 10 retailers in the U.S., including Walgreens, Kroger, CVS, Costco and Target.
Furthermore, because Allpoint Network ATMs are present in prime retail locations, cardholders have the convenience of being able to withdraw funds and perform basic functions such as balance inquiries while taking care of personal shopping – and avoid a trip to a bank or being charged a cash-back fee at the point of sale.
What kinds of companies are you looking to partner with?
Pierce: Cardtronics and Allpoint Network work with program managers, major card suppliers, issuers and sponsor banks.
What do you think the future of prepaid holds in the next five years?
Pierce: Consumer-purchased prepaid card usage, particularly open-loop, reloadable cards is expected to grow over the next five years as unbanked and underbanked consumers turn away from traditional bank accounts. Retailers, government assistance agencies, insurers and other organizations are also expected to increasingly replace checks with open-loop cards for paying customer rebates, subsistence benefits, health and property insurance claims, and other types of payments. All of these prepaid card offerings will require a convenient means for cardholders to withdraw cash from or deposit money to their cards, and Allpoint is the optimal network to engage on the pathway to growth.