CashEdge Popmoney Evolves Into a New Prepaid Reload Service; TxVia Adopts

by Mercator Advisory Group 0

Financial institutions that have failed to measure the funds account holders transfer to third-party prepaid products via ACH are in for a surprise. CashEdge has enabled Popmoney as a prepaid reload service. Whereas it can be a daunting task for a consumer to arrange an ACH transfer, this solution provides third-party prepaid cardholders a very consumer-friendly mechanism for transferring funds out of a checking account to a prepaid card online:

“CashEdge Inc. (www.cashedge.com), the leading provider of Intelligent Money Movement® services, today announced an expansion of its Popmoney® payments service with the launch of Popmoney for Prepaid. This innovative capability will provide prepaid card users with the ability to reload their cards online, and the ability to easily request money from, or send money to, other people via email or text. Popmoney for Prepaid is available to prepaid card issuers, processors and program managers.”

TxVia is the first prepaid processor to make this service available to its program managers:

“In conjunction with this announcement, CashEdge and TxVia, Inc., a leader in processing technology for prepaid and emerging payments, announced an agreement to integrate Popmoney for Prepaid with TxVia’s prepaid card processing platform. Through the agreement, TxVia’s program manager and issuer clients will be able to offer their prepaid cardholders the ability to reload funds electronically onto an existing prepaid card using the Popmoney service. ”

Popmoney provides the consumer a range of options for easily moving money to their third-party prepaid product:

“Popmoney is the leading email and mobile person-to-person payments service, which allows bank customers to send money from their online or mobile banking, using a recipient’s email, mobile number or bank account information. The service provides support for text messaging, WAP and downloadable mobile applications. Popmoney is currently live at more than 200 financial institutions.”

Pricing was not divulged and this may be an area of friction to consumer adoption. There may also be the need for each institution to enable this function (assuming they are the client referenced here), which would also limit the size of the accessible market:

“Popmoney is built upon the proven reliability and security of CashEdge’s money movement platform, which in 2010 processed over $64 billion in online funds transfers for bank customers. For current CashEdge clients, Popmoney is a simple upgrade of their existing TransferNow service.”

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