The US Department of the Treasury’s financial management service or FMS has renewed the designation of JP Morgan as its financial agent to support FMS’s US Debit Card programme which provides pre-paid debit card services to federal agencies.
JP Morgan has said that the three-year award is part of the Treasury Department’s strategic plan to reduce the number of paper checks issued by the federal government.
According to the agreement, two types of debit cards will be offered: single deposit cards and multiple deposit cards. Single deposit cards can be used by agencies to pay a cardholder an incentive, bonus, one-time stipend, per diem or other similar one-time payment type. Multiple deposit cards can be used by agencies to make multiple payments to a debit card for emergencies, stipends, payroll or other similar recurring payment types.
Laurie Neill, managing director of public sector solutions for JP Morgan, said: We are pleased to continue our partnership with FMS on the US Debit Card programme. Debit cards will further help US Treasury increase electronic payments issued by the federal government and yield significant savings to taxpayers.
