Looking to make their reloadable prepaid card more attractive as retailers and consumers alike deal with the uncertainty created by the coronavirus pandemic, Walmart Inc. and Green Dot Corp. on Tuesday said they are now offering a 2% rate on the Walmart MoneyCard’s associated savings account.
The rate is applicable for balances up to $1,000. Previously, no rate applied as users earned the chance to win prize savings instead, a Green Dot spokesperson says. The prize program is still in effect.
The companies also announced cardholders can get as many as four more cards for family members who are at least 13 years old, make free cash deposits, and use a feature allowing cardholders to add funds from an existing bank account.
The 14-year-old MoneyCard is issued by Provo, Utah-based Green Dot Bank, which Pasadena, Calif.-based Green Dot acquired in 2010 as part of an early strategy to layer banking services on top of its core prepaid card business. Green Dot’s new chief executive, Dan Henry, recently emphasized the strategic importance of the bank to the company’s plans to fend off competitive thrusts from so-called challenger banks.
“Now, more than ever, consumers are looking for ways to manage their money for less, while saving as much as they can. The new Walmart MoneyCard allows customers to do both,” said Mike Keeslar, general manager of consumer products at Green Dot.
Cash deposits, which formerly carried a $3 fee, are now free, the companies said, when cardholders use the MoneyCard mobile app at any Walmart money center or customer-service desk. The cashier scans a unique barcode generated by the app. The companies say funds are available in 10 minutes or less. The same app allows users to move money into the MoneyCard from an existing bank account and into or out of the linked savings account.