IMGCAP(1)]
Payroll card provider PayCardUSA LLC has hired BSP Rewards Inc. to build an online shopping mall for its cardholders, BSP parent MediaNet Technologies Inc. announced today. PayCardUSA cardholders can shop online at more than 750 merchants and earn cash rewards, Stefanie Kitzes, BSP director of business development, tells CardLine. "We've created an online mall, and each of the merchants pays a rebate in the form of cash," Kitzes says. The merchants in the mall pay rebates on purchases made through the site to BSP, which keeps half of the rebate for itself and its partners, Kitzes says. BSP pays the other half to the cardholders as an incentive to shop, Kistzes says. Merchants make money on the added volume the online malls direct to their sites. Payroll card providers like the online malls because they provide a value-added service the providers can offer to employers who offer the card, Kitzes says. Margate, Fla.-based BSP has more than 60 malls and about 600,000 registered cardholders, Kitzes says. The company expects the number of cardholders using its malls to grow to 3 million during the next four to six months, Kitzes says. A private-branded online mall costs about $7,000 to build, and BSP makes money on continued income by sharing the rebates, Kitzes says. Las Vegas-based PayCardUSA did not return calls for comment.
