January 20, 2017 9:47 PM ET

Consumer Finance

Company Overview of NetSpend Corporation

Company Overview

NetSpend Corporation provides reloadable prepaid cards and related financial services to underbanked consumers who do not have a traditional bank account or who rely on alternative financial services in the United States. It offers FDIC-insured Visa and MasterCard prepaid cards to make purchases, pay bills, and manage their money without the need for a checking account or credit history. The company also provides corporate payroll card solutions that help employers offer employees with a direct deposit option. It offers its solutions via its direct distribution channel and online portal, as well as through a network of distribution locations and reloads points, such as neighborhood retailers...

701 Brazos Street

Suite 1200

Austin, TX 78701

United States

Founded in 1999

Phone:

512-531-8693

Fax:

855-439-6488

Key Executives for NetSpend Corporation

President
Age: 53
Executive Vice President of Direct Channel
Senior Vice President of Partner Channel
General Manager of Retail Channel
Compensation as of Fiscal Year 2016.

NetSpend Corporation Key Developments

FTC Sues NetSpend over Prepaid Advertisement Claims

The Federal Trade Commission filed a lawsuit against NetSpend, alleging that the prepaid card issuer deceived consumers in its advertising. The company responded that it intends to 'vigorously contest' the lawsuit. The case hinges on whether the company crossed any legal lines in its advertising materials, which marketed the idea that getting approved was easy and funds would be available right away. One online advertisement cited by the FTC claimed 'Guaranteed Approval'. But if consumers clicked on a footnote next to that text, they were shown additional language that described a federally mandated identity-verification process. Another ad cited by the FTC includes a photo of a woman and child below the text, 'My government benefits payment is direct deposited every month and I have instant access to my money - no holds, no waiting'. Elsewhere in the ad is the text 'Immediate access to users funds', alongside another footnote about identity-verification procedures. The FTC alleges that many consumers were unable to access their money for long periods of time and suffered severe hardships such as evictions and car repossessions. The FTC is asking the court for injunctions to stop the alleged misconduct, as well as a financial judgment that would redress the harm done to consumers. The company noted that it is required under federal law to confirm the identity of its customers, before adding: NetSpend takes seriously and carefully adheres to these legal mandates to fight identity theft, money laundering and terrorist financing and believes that no one was deceived or harmed by the company's compliance with these legal obligations.

NetSpend Corporation Presents at Money 20/20 Conference, Oct-23-2016 03:10 PM

NetSpend Corporation Presents at Money 20/20 Conference, Oct-23-2016 03:10 PM. Venue: The Venetian, Las Vegas, Nevada, United States. Speakers: Lisa Henken Ramirez.

Meta Payment Systems Extends Relation Ship with NetSpend

MetaBank's payment solutions division, Meta Payment Systems announced recently that it has signed a five-year agreement to extend its relationship with NetSpend. MetaBank and NetSpend have been working together to issue prepaid cards for nearly 10 years.

Similar Private Companies By Industry

Company Name Region
1031 Corp. United States
1800Pay, Inc. United States
1st Franklin Financial Corporation United States
2011-SIP-2 Venture, LLC United States
2262011 Ontario-Delaware Inc. United States

Recent Private Companies Transactions

Type
Date
Target
No transactions available in the past 12 months.
 

The information and data displayed in this profile are created and managed by S&P Global Market Intelligence, a division of S&P Global. Bloomberg.com does not create or control the content. For inquiries, please contact S&P Global Market Intelligence directly by clicking here.

Stock Quotes

Market data is delayed at least 15 minutes.

Company Lookup

Most Searched Private Companies

Company Name Geographic Region
Lawyers Committee for Civil Rights Under Law United States
Bertelsmann AG Europe
Bloomberg L.P. United States
The Advertising Council, Inc. United States
Rush University United States

Sponsored Financial Commentaries

Sponsored Links

Request Profile Update

Only a company representative may request an update for the company profile. Documentation will be required.

To contact NetSpend Corporation, please visit www.netspend.com. Company data is provided by S&P Global Market Intelligence. Please use this form to report any data issues.

Please enter your information in the following field(s):
Update Needed*

All data changes require verification from public sources. Please include the correct value or values and a source where we can verify.

Your requested update has been submitted

Our data partners will research the update request and update the information on this page if necessary. Research and follow-up could take several weeks. If you have questions, you can contact them at bwwebmaster@businessweek.com.