In the last day we have had 3-4 customers come in with the EIP cards that were loaded with their stimulus payment. This is the first that I have heard of using EIP cards, but I did some research and it appears that some folks will be getting their money this way instead of a check.

However, we have a customer (husband and wife) who received their stimulus via ACH on the 4th, but the wife received an EIP card with more stimulus money. Our tellers are wondering if we should allow them to access the funds. I don't know that I have a good answer for them. Thoughts?

Why would you not and if you are not going to allow access, what do you plan on doing with the money? It is not up a bank to determine who gets what - just that if you get an ACH you properly credit it to the correct account.

I have no problem with giving them the funds that came in via ACH. It's the EIP card that they received in the mail. Is there a reason someone would get money via ACH and an EIP card?

If you are a VISA merchant and the card is properly presented, I am not sure you have the ability to refuse the transaction. But I have not read all of the EIP literature.

You are correct Randy. It's time to break out the Cash advance thread again.

Sure, if they recieved their tax refund via EIP card.

Are we required to process EIP cards for non-customers?

As noted in the thread that I linked above, VISA/Mastercard both have non-discrimination clauses in their operating rules. You treat every cardholder the same regardless of whether they have a relationship with your institution.

Is there any prohibition against charging a convenience fee for individuals calling the call center to process a cash advance (i.e., transfer into their account) as long as we treat all requests the same.

Visa rules prohibit it I believe.

Fees are discussed in the thread linked above. Fees are prohibited on debit and prepaid cards.

Secondary issue to your question. VISA/MC rules require that cash advances be performed in person following verification of proper ID. Processing this transaction over the phone leaves you open for 120 days for the issuer to file a chargeback against you if the cardholder claims the cash advance was fraudulent.

Bottom line. I would not even consider offering this as an option.

I have learned that our call center occasionally processes this type of transaction as a purchase. They have done this for awhile for an occasional loan payment. This explains much.

They expanded it to EIP cards. It isn't a revenue generator. They are trying to get people to go to an ATM or the website to process the transfer. I wonder what VISA would think of this process.

Thank you all.

I assume you are not accepting credit card loan payments or we need to revive the thread on that subject too.

lclarey,

I have read that thread.

We are a credit union, so everyone has a deposit account. The transaction is made to their deposit account and then later posted to their loan at the consumer's request. I don't necessarily like the practice, but I have never been able to find any concrete reason to prohibit it. Admittingly, with VISA rules I just know enough to know that I know nothing.