On July 22, 2004, DataPath, Inc. announced the addition of mySourceCard™, a MasterCard® debit card offered through Benefit Bank. (See Press Release.) mySourceCard™ operates as a debit card, except it is limited to specific Merchant Category Codes (MCCs). It is a special-purpose MasterCard® debit card that interfaces with employer-sponsored reimbursement plans such as Flexible Spending Accounts (FSAs), Health Savings Accounts (HSAs), Health Reimbursement Accounts (HRAs), Dependent Care Assistant Plans (DCAPs), and Transportation Management Accounts.
DataPath already has in place myResourceCard®, a MasterCard® credit card that can also be used with employer-sponsored reimbursement plans. This means that our users will be able to offer employers a choice of a debit or a credit card according to their needs. In fact, only our users will have this opportunity!
When an employer asks you if you have a card option, you can answer, "Yes, which one do you prefer, debit or card?", and when they ask the difference, then you are in the position of being an educator and an advisor rather than just someone pitching a sale.
Credit Card Benefits
For instance, you can explain the benefits of the credit card, myResourceCard®, such as:
- No Deposit Requirements. Since the credit card is based on a line of credit, the employer does not have to front any money.
- Separation from Reimbursement Accounts. This separation from the reimbursement accounts allows use of the credit card even when part of the expense is to be paid by the employee. For instance, if the employee participates in an HRA where the employer pays only 50% of the expense and the employee is responsible for the remaining 50%, the employee can use the credit card to pay for the total expense. After adjudication, the HRA will then pay the eligible amount, and the remainder will be billed to the employee.
- Useful to Employees with High Deductibles. The credit card benefits employees with high deductibles because it allows the employee to pay for medical expenses without out-of-pocket monies. As in the paragraph above, the employee will be billed for any amount required to satisfy the deductible.
- Acceptable at All MasterCard® Locations. The credit card can be used at every location that accepts MasterCard®.
- No Pay-and-Chase. With the credit card, the expense is not charged against the employer-sponsored reimbursement plan until after adjudication. If the expense is ineligible, the employee will be billed for the ineligible amount.
Debit Card Benefits
And then explain the benefits of the debit card, mySourceCard™, such as:
- Merchant Category Code Exclusions. The debit card only works at merchants the employer approves.
- No Employer Credit Check. With a debit card, employers are not required to request a line of credit from the bank.
- Automatic Processing of all Card Transactions (Swipes). The debit card automatically pushes each "swipe" through the claim system and the payment processing. This is done in the early morning so that when the administrators logs in, the administrator can view a list of completed claims that have already been imported and paid, and the account balances adjusted.
After discussing each Card's features, explain the Cards' seamless integration with the bank-card process, the employer's benefit accounts, and the employer and employee account holders through one common portal, www.myRSC.com.
The choice of myResourceCard® or mySourceCard™ together with www.myRSC.com will give you the opportunity of offering choices that only DataPath users can provide. .