BB&T Introduces New Prepaid MoneyAccount

by Mercator Advisory Group 0

In response to the turmoil surrounding the Durbin amendment and interchange fees, BB&T today introduced a new prepaid transaction account featuring a Visa-branded debit card. The new prepaid account is expected to be exempt from the lower interchange fees required by the Durbin Amendment, while simultaneously offering a low cost product targeted to the unbanked and underbanked segments (which are a priority on the policy agendas of both the FDIC and the new CFPB).

Nearly 60 million Americans do not have a bank account today or they are underbanked,” noted Scott Qualls SVP Deposit Access Products Manager at BB&T. “The BB&T MoneyAccount is a prepaid solution that provides our clients with a secure and easy way to access their funds. It also features a simple, transparent fee structure.”

The BB&T MoneyAccount has a flat monthly fee of $10 that can be reduced to $5 with monthly deposits totaling $1,000 or more. The account holder can only spend funds that have been deposited, which helps them to manage their finances and eliminates the risk of overdraft fees. The BB&T MoneyAccount has many unlimited features including:
• Free PIN and Signature purchases anywhere Visa debit is accepted worldwide
• Free BB&T ATM cash withdrawals and inquiries
• Free direct deposit
• Free transfers to/from other BB&T accounts
• Free online banking & bill payments
• Free mobile banking and alerts
• FDIC insurance
• BB&T Complete Client Protection for unauthorized purchases if the card is lost or stolen
• The first monthly fee will be waived

We expect many banks will offer this type of account if the current draft regulations of the Durbin Amendment with a prepaid card exemption are finalized in April. Increased interchange fee income combined with some service and delivery channel restrictions could be one of the winning formulas for the post-Durbin world.

If you want to learn more about this, please read the press release: http://www.prnewswire.com/news-releases/bbt-introduces-new-prepaid-moneyaccount-116298549.html