Information Classification as Needed

For Visa Member Use OnlyThis information is not intended, and should not be

construed, as an offer to sell, or as a solicitationof an offer to purchase, any securities

Visa Prepaid Cards for the Public Sector

Caroline Birchinall

Head of Prepaid Proposition Development

Visa Europe

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Agenda

• Introduction

• The Visa Public Sector Prepaid Opportunity

– Introduction to Prepaid Cards

– Market Opportunity for Prepaid in Europe

– Visa Prepaid Public Sector Products

– Benefits of using Prepaid cards

– Financial Case

– The Visa Difference

• Next steps

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Prepaid Cards

Prepaid Debit Credit

Linked to a Prepaid Account

Immediate Deferred Charge Credit

Linked to a Current Account Linked to a Credit Account

Elective Use Everyday Use Elective Use

PayWave, Simply One, Visa Code Sure, Risk Control (VPE)

Pay Before Pay Now Pay Later

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Visa Prepaid Public Sector Products

Education expenses Local Authority payments

Central Government paymentsCharity Disbursements

Employee T&S

Prepaid cards are a relatively new development in the European public sector but growing fast

Presentation Identifier.5Information Classification as NeededPrepaid Commercial February 2010 For Visa Member Use Only 5

Government Payment Cards

Employer

Administrator

Distributor

Central Government Local Government

• Payroll

• Benefits

• Retirees/Pensioners

• Payroll

• Benefits

• Retirees/Pensioners

• Petty cash• Purchasing• T&E expenses• Relocation expense

• Petty cash• Purchasing• T&E expenses• Relocation expense

• Social benefits distribution• Health care services• Transit subsidies • Child support• Emergency assistance

• Social benefits distribution

• Child support

• Emergency assistance

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Prepaid drivers in the Public Sector

Improved Reporting and Audit Trail

Improved MI and payment tracking

Cost EffectivenessCosts must be fixed and upfront

quantifiable

Social InclusionA product accessible to all

Improved SecurityReduced cash distribution leads

to improved security for both public sector departments and

the citizen

PREPAID DRIVERS

Increased EfficiencyIncreased productivity of Public

Sector departments from the removal of manual processes

Improved Citizen Experience

A more convenient product for the end user

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Central and Local Government Disbursements

Regular Benefit Disbursements

One-Off Payments Temporary Worker Payroll

Applicable to a diverse range of regular government payments :

• Child benefit payments

• Unemployment benefit

• Invalidity benefit

• Pension payments

• Housing benefit

Applicable to a number of central government run schemes which support :

• Job seekers clothing allowance

• Home furnishing allowance

• Emergency cash grant

• Winter fuel

• Public Sector departments employ large numbers of temporary and seasonal workers – payroll cards are ideal for paying salaries to these employees.

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Central Government Payments How it works

In store

Online

ATM

• SMS alerts to deliver real time balance and transaction information.

• ATM Balance enquiries€

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Product Features

Visa disposable or reloadable prepaid card

Immediate access to funds for the

recipient

Accepted at any Visa merchant

location (in-store, online, phone)

and ATMs

Card replaced if lost or stolen

Customer service and support

available by web and/or phone

Core features & functionality

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Central and Local Government Payments Benefits for All

The value proposition for recipients and central and local government departments is very strong. These benefits include:

Public Sector Department

• Improved efficiency

• More cost effective

• Innovative method of providing disbursement

• More secure and better audit trail

Citizen

• Convenience

• Security

• Accessibility for all - No approval process required for recipients

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Travel and Subsistence Cards

Target customer segments

• Given to employees to cover irregular travel and subsistence

• Can also be used for emergency cash advances/payments/petty cash

• Employers can load a set amount of value to cover the anticipated travel/expenses for a particular trip

• Can be issued on an ad-hoc basis

• Can be given to employees to cover relocation expenses

What are they used for?

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Travel and Subsistence Card Benefits

Customer Benefits

• Convenience – the employee is not out of pocket having to reclaim expenses

• Security and protection• Immediate access to funds• More effective use of work

time – no requirement to complete expense claims

• Flexibility

Business Benefits

• Reduces administrative costs

• Increased efficiency• Improves employee

productivity• More effective control of

T&S budget• Simplified reporting

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Charity and Educational Grant Disbursements

Charity Payments Educational Grants

Charities make both regular and one off payments to cover :

•Emergency cash grants

•Purchase of specialist equipment

•Supplementary benefit payments

• Students and young people receive regular and one off payments to cover :

• Tuition fees

• Living allowances

• Additional grant payments

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Charity and Educational Grant Disbursements Benefits for All

The value proposition for recipients, issuers and grant providers is very strong. These benefits include:

Public Sector Department

• Improved efficiency

• More cost effective

• Innovative method of providing disbursement

• More secure and better audit train

Citizen

• Convenience

• Security

• Accessibility for all - No approval process required for recipients

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Thank You!

• Any Questions?