IRVINE, Calif. - Competisys and Morgan Beaumont Inc. have entered a financial-services agreement to provide prepaid cards from Discover Network and other financial services through a kiosk network being deployed by Competisys. The kiosks will be delivered through the Mexican American Grocer's Association at more than 120,000 grocery stores nationwide.
Members of MAGA include Kroger, Albertsons, Wal-Mart, Safeway, 7-11 Stores, Costco, Bank of America, The Coca-Cola Company, Anheuser-Busch, Procter & Gamble, Pepsi-Co, Frito-Lay, Kelloggs, The Miller Brewing Company, Kraft Foods, Wells Fargo Bank, Coors Brewing Company, and Walt Disney Co.
Florida-based Morgan Beaumont will provide a variety of prepaid cards from Discover Network - including gift, payroll, remittance and general spending. The first shipment is expected to go out in August. Financial services will be offered under the MAGA Banco el Mago trade-name, which will be licensed to MBI.
MAGA-affiliated stores that participate in the program will become part of the Sire Network and will be equipped with advanced-technology financial-services kiosks from King Products and Solutions Inc.
Once deployed, customers can take advantage of the financial and other available services that are geared toward unbanked or underbanked retail customers.
"An estimated one-third of U.S.-born Hispanic residents and more than half of all Mexican immigrants lack bank accounts," Competisys chief executive William Prentice said. "This agreement will enable us to provide an important, underserved market with financial tools designed specifically for their purchasing and payment needs."
Prentice estimates that by 2009, Hispanics will account for approximately $1 trillion in total purchasing power nationwide.
"We are projecting that we will be servicing the financial needs of several million consumers in the next three to five years," he said.
