Usio’s prepaid card solutions chosen globally for guaranteed income programs

By Edlyn Cardoza

Usio, Inc., a leading FinTech integrated electronic payment solutions provider, recently announced the addition of several more municipally managed guaranteed income programs, including New York, Chicago, Denver and Arlington, to the growing list of plan sponsors that have chosen the Company’s proprietary prepaid card solution for funds disbursement.

Louis Hoch, President and Chief Executive Officer of Usio, said, “Usio has clearly established itself as the leading provider of electronic payments technology for guaranteed income funds disbursement, and we are pleased to welcome these new programs to the numerous similar organisations across the United States that have chosen to integrate our card-issuing technology into their programs. Direct cash transfers using debit cards empower and enable individuals to make their own spending decisions in a convenient manner. Guaranteed income programs are just another in the growing number of governmental and similar programs across the country that are increasingly adopting card technology as the preferred method to disburse money and manage spending. We are both pleased and honored to support these efforts with a platform that recognises and supports their goals.”

In addition to the many other applications for which government entities have chosen prepaid card solutions, Usio’s proprietary technology provides guaranteed income program participants, who often don’t have bank accounts, with a simple way to access the money, using the card everywhere Debit Mastercard^© is accepted. The supporting organisation can easily reload funds to the cards remotely and automatically, purchases can be restricted to include or exclude particular Merchant Category Codes (MCC), and the robust platform provides entities with detailed reporting on card usage that can be quickly and easily analysed to improve programs.

The most recent programs to choose the Usio prepaid solution include:

• The Bridge Project, launched in June 2021 by The Monarch Foundation, is New York City’s first guaranteed income program. The Bridge Project is designed to support low-income mothers during the first 1,000 days of their children’s lives by providing them with consistent, unconditional cash on a biweekly basis. Selected mothers receive $1,000 a month for the first 18 months of the program and $500 per month for the remaining 18 months.
• The Family Assistance Resource Program, in which 1,000 families in Phoenix, AZ, receive $1,000 monthly from January to December 2022. A total of $12 million in federal pandemic relief funding has been earmarked as emergency financial assistance to support these residents with day-to-day expenses.
• The Chicago Resilient Communities Pilot, one of the nation’s largest monthly cash assistance programs, will support 5,000 low-income households. Usio, in partnership with GiveDirectly and AidKit, will disburse $500 each month for 12 months to provide additional economic stability.
• Equity and Transformation (EAT) in Chicago, Illinois, recently launched a pilot program to provide $500 a month for 18 months to up to 55 post-incarcerated residents of the Garfield Park neighbourhood. This program will evaluate the impact of guaranteed income programs in reducing poverty and creating opportunities that prevent recidivism.
• Arlington’s Guarantee is likewise sponsoring a guaranteed income pilot program to provide $500 to 200 low-income working families in Arlington, Virginia, for 18 months.
• The Denver Basic Income Project, in partnership with Mayor Michael Hancock’s Office and Mayors for a Guaranteed Income, has also begun a pilot program to determine the effectiveness of unconditional monthly cash payments to Denver, Colorado, residents experiencing homelessness.

“Usio has a strong team that’s focused on what is best for the cities and program recipients,” noted Ben Williams, Program Manager for The Connective, an initiative of the Partnership for Economic Innovation in Arizona. “They’ve worked hard to ensure we deliver this program quickly, maintain a consistently high service level, and make a meaningful impact on the lives of City of Phoenix residents. Usio has been a great partner for this program, and we deeply appreciate their ongoing support and efforts.”

Houston Frost, Senior Vice President of Corporate Development and Prepaid Products, added, “On behalf of the entire Usio team, I want to express my sincere gratitude and our steadfast commitment to these organisations who have entrusted us with this important responsibility. We have become recognised across the county as having the ability to quickly develop customised solutions that meets the distinct requirements of various cash assistance, incentive and general funds disbursement programs. Having now served the disbursement needs of over 200 charitable, civic, and other economic assistance programs, we have gained a keen understanding of this market. We are continuing the develop new tools and features that will enhance our ability to serve the proliferation of funds disbursement programs that see prepaid and debit card programs as a superior solution.”