The prepaid card provider Postilion, a division of S1 Corp., and Central National Bank and Trust Co. in Enid, Okla., said Monday that they had formed a partnership to offer prepaid cards to the bank's partner financial institutions.
Postilion said it has co-developed prepaid card software with Central National to use in processing transactions and issuing cards to underbanked customers on behalf of community banks and credit unions.
"We are … offering other financial institutions our knowledge and understanding to help them deliver their own bank-branded, prepaid card solutions," Brud Baker, Central National Bank's president, said in a press release.
A bank spokeswoman said the cards could run on the MasterCard, Visa, or Discover networks.
The bank also offers payroll and remittance cards tailored to Hispanic immigrants; the cards run on the Pulse network.
Postilion, a Norcross, Ga., outfit that creates platforms for point of sale terminals and automated teller machines, said that prepaid card programs can help community financial institutions increase their revenues by turning "transitional," underbanked people into "more traditional customers."
Central National Bank said it had pilot-tested a prepaid card program with an unnamed retailer and is now rolling out the program in 300 of its stores.
