Our Miami Accounting Firm will will offer the cards to taxpayers as a safe, convenient and low-cost way to receive their tax refunds electronically, especially if they lack a bank account. The new program aims to provide consumer protection features for Americans with limited or no access to traditional banking services.
A low-cost option for faster delivery of their federal tax refund. This innovative card can be used for everyday financial transactions, such as receiving wages by direct deposit, withdrawing cash, making purchases, paying bills and building savings safely and conveniently, giving users more control over their financial futures.
Also this week, the Treasury began a companion pilot to encourage tens of thousands of current and potential payroll card users to direct deposit their 2010 federal tax refund onto existing payroll cards. Nationwide, more than 1.7 million workers use payroll cards to receive and access their wages, often because they do not have bank accounts. Working with ADP, a provider of payroll services, the Treasury will highlight the safety, ease and convenience of direct deposit onto payroll cards through tax season communications, including materials distributed with pay statements.
The letters mailed to taxpayers about MyAccountCard contain information about the card’s features, including free services and the fee structure for optional services. Many of the features, including free point-of-sale transactions, free online bill pay, free ATM cash withdrawals at more than 15,000 ATM machines nationwide, and free cash back at participating retail stores, will help cardholders limit the costs of using the card. The information also explains how to sign up, and how to use the card to receive a federal tax refund and conduct everyday financial transactions.
The Visa-branded MyAccountCard will be issued by Bonneville Bank, acting as Treasury’s financial agent and pursuant to a license from Visa U.S.A. Inc., with additional services provided by Bonneville Bank through its program manager, Green Dot Corporation, a prepaid financial services company. Bonneville Bank, Visa and Green Dot will offer MyAccountCard cardholders a wide variety of card features, reliable customer service support by telephone and Internet, and a large nationwide reload network.
The tax-time pilots build on the Obama administration’s efforts to increase electronic payments and to empower Americans to make informed financial decisions. Those who receive Social Security, Supplemental Security Income and other types of federal benefits already have the choice to get their payments through the Direct Express Debit MasterCard card, which was designed for federal benefit recipients and is recommended by the U.S. Department of the Treasury.
Gustavo A Viera CPA