News

Alabama allows child-support payments via debit cards, ATMs

May 25, 2005

BIRMINGHAM, Ala. - Beginning June 1, 20,000 parents who receive child-support payments through the Alabama Central Disbursement Division will have the option of receiving the payments on AmSouth Bank's Spectrum Card, a Visa-branded payroll card that works like a debit card, rather than by direct deposit or paper check, according to a news release.

"The Spectrum Card will allow the recipients access to their funds without the hassle or fees associated with cashing their checks," said Joe Bruner, assistant manager at the ACDD. "We are looking for ways to reduce the cost of printing checks, and up until now, our only option was regular Direct Deposit. So we're very excited about working with AmSouth to offer this option, along with the convenience it offers the customer."

"AmSouth is pleased to partner with the state of Alabama to provide child support check recipients with this new service," said David Clarke, vice president and product manager, commercial card services, at AmSouth. "Now, with the Spectrum Card, they will no longer have to wait for their checks to arrive by mail, where they could be lost or stolen. In addition, they can now enjoy the freedom and convenience that comes with carrying a Visa card product."

The state loads payments onto the card and cardholders will be able to use their cards anywhere Visa debit cards are accepted. Cardholders can make a free ATM cash withdrawal after each payment at any of AmSouth's 1,240 ATMs across the Southeast or Allpoint's 32,000 network ATMs nationwide. In addition, cardholders can get cash back at no charge when they make purchases at the 1.2 million points of sale where Visa debit cards are accepted.

The Spectrum Card provides cardholders a safer option than cashing their child support check, as well as a monthly record of their transactions, both online and via a paper statement, and is convenient and widely accepted. The card also will provide security and convenience for parents who don't have checking accounts.