CFSI Comments on U.S. Treasury Department's
Launch of Tax Time Debit Card Program
Pilot is important test in providing taxpayers with good transaction products at tax time
September 03, 2010 12:16 PM Eastern Daylight Time
WASHINGTON--(EON: Enhanced Online News)--The U.S. Treasury Department’s announcement of a 2011
pilot program to test the delivery of tax refunds via debit card accounts represents a critical milestone by the Obama
Administration to ensure millions of underbanked consumers have access to well-designed transaction products.
The pilot program, which was deeply informed by the Center for Financial Services Innovation’s SAFE-T Accounts
proposal, is a significant first step to offering lower-income tax filers the option to directly deposit their tax refunds
onto reloadable debit card accounts.
“If rolled out nationwide, this program will leverage the billions of dollars in tax refunds that are not electronically
deposited each year in order to provide underbanked tax filers with a safe and affordable product that meets their
basic financial services needs,” said Melissa Koide, Policy Director, CFSI. “Over 30 million underbanked
individuals and families would have easy access to a tool to help them on the path towards financial prosperity.”
According to CFSI, the Federal government could potentially save tens of millions of dollars a year through issuing
refunds electronically in lieu of much more costly paper checks. The tax time accounts will also introduce more
underbanked consumers to the potential and utility of such financial products and broaden the overall market for
these and a variety of other financial services and products.
About CFSI
The Center for Financial Services Innovation is the nation’s leading authority on financial services for underbanked
consumers. Since 2004, its programs have focused on informing, connecting, and investing – gathering enhanced
intelligence, brokering and supporting productive industry relationships, and fostering best-in-class