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#1752281 - 10/25/12 02:39 PM Unemployment Debit Cards
abbyauditor Offline
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abbyauditor
Joined: Dec 2006
Posts: 78
texas
We have non-customers coming in our bank wanting to do a cash advance on their Texas Unemployment Debit Card (issued by Chase). Can anyone tell me if we are required to do these cash advances or can we send them to the ATM? We are not a Chase bank and there are no Chase banks close by. Do we treat this just like the Social Security Debit cards and do the cash advance as long as they have proper ID? If we can send them to the ATM that would be great but we want to do what is right.
Thanks.

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#1752293 - 10/25/12 02:54 PM Re: Unemployment Debit Cards abbyauditor
Dani York, CRCM Offline
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Dani York, CRCM
Joined: Apr 2005
Posts: 3,663
TN
Are they branded with Visa, Mastercard, or Discover? If they are branded and you have a contract with that brand, you will have to perform the cash advance in accordance with your vendor contract.

It looks like they are branded Visa. So if you process Visa cash advances, you will need to conduct the cash advnaces on these cards as well.

http://www.twc.state.tx.us/ui/bnfts/debit-card.html#whereitfor

Cash Withdrawals

Can I get cash back at any bank or ATM?

You can make cash withdrawals at any Visa-member bank. You get one free cash withdrawal from a bank teller after each deposit. After that, withdrawals from a bank teller are $5.00 each. You must show the bank teller a government-approved photo identification to get cash. The bank teller should not send you to an ATM.
Last edited by Dani York; 10/25/12 02:55 PM. Reason: Added FAQ quote
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#1752316 - 10/25/12 03:06 PM Re: Unemployment Debit Cards abbyauditor
abbyauditor Offline
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abbyauditor
Joined: Dec 2006
Posts: 78
texas
Thanks Dani. What is confusing me is the statement "any Visa-member bank". We can do cash advances for Visa, Mastercard and Discovery inside the bank. So if I'm understanding what your are saying we are required to do the cash advance and not send them to the ATM. Sorry about asking so many questions, this confuses me.

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#1752341 - 10/25/12 03:23 PM Re: Unemployment Debit Cards abbyauditor
Dani York, CRCM Offline
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Dani York, CRCM
Joined: Apr 2005
Posts: 3,663
TN
Correct, if you process cash advances on Visa cards, you are a Visa member bank. You should have a sign next to your cash advance machine that has the Visa logo. If yes, you are a Visa-member bank and must process cash advances on any Visa branded card. Works the same with Mastercard and Discover.

You obligation to perform these transactions would be found in your cash advance services contract, where they probably reference you as a Visa-member bank and following the Visa rules.
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#1752384 - 10/25/12 04:00 PM Re: Unemployment Debit Cards abbyauditor
abbyauditor Offline
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abbyauditor
Joined: Dec 2006
Posts: 78
texas
Thank you so much.

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#1752483 - 10/25/12 06:56 PM Re: Unemployment Debit Cards abbyauditor
John Burnett Offline
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John Burnett
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Cape Cod
Just to be clear, the clip by Dani of the information from the Texas benefits website. It mentions one free cash withdrawal per deposit (to the card), and that subsequent withdrawals from a bank teller will cost $5. That $5 is a charge imposed by the state of Texas on the benefits recipient. It is not imposed by the bank giving the cash advance. As always, you are prohibited from charging a fee for handling a cash advance at the teller line, assuming it's on a Visa or MasterCard branded card.
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#1752804 - 10/26/12 03:19 PM Re: Unemployment Debit Cards abbyauditor
abbyauditor Offline
Member
abbyauditor
Joined: Dec 2006
Posts: 78
texas
I was not aware that we were prohibited from charging a fee for doing a cash advance at the teller line. Can you please tell me where I can find this information so I can pass it on to upper management? We do not charge a fee, but we were considering it. Another question I have is, if a customer or a non-customer comes in with a visa branded card, do we have to (required) do the cash advance or can we send them to the ATM since we are able to do cash advances on Visa/MasterCard/Discover?

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#1752818 - 10/26/12 03:41 PM Re: Unemployment Debit Cards abbyauditor
BrianC Offline
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BrianC
Joined: Nov 2004
Posts: 6,685
Illinois
Yes, you are required to process cash advanced for non-customers.

InfoVault - Obligation to provide cash advances

No, you may not charge a fee.

Infovault - Cash advance fee prohibition
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#1752826 - 10/26/12 04:03 PM Re: Unemployment Debit Cards abbyauditor
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
And you cannot send them to the ATM unless your teller line isn't open or your cash advance terminal is inoperative. But if they decide to go directly to your ATM (most will be savvy enough to avoid the ATM unless they can't get to the teller line), that's not a problem.
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