San Antonio, TX (February 5, 2019) —Payment Data Systems, Inc. (NASDAQ: PYDS), a tech enabled payment solutions provider, is excited to announce the availability of a comprehensive money disbursement platform that provides access to its ACH, push to debit card, and virtual and physical card issuance capabilities. By offering this suite of services, businesses can now offer contractors, employees and other payment recipients the ability to choose between the issuance of a prepaid Debit Mastercard, real-time deposits to checking accounts, traditional ACH or direct deposit, or paper check.
The offering seeks to provide business clients with comprehensive payment functionality that creates efficiencies and reduces the number of required payment vendors. Due to the complexity around card issuance solutions, many businesses continue to issue paper checks as the only alternative to direct deposit. With the average cost to issue a check being between $7 and $8 (according to the Aberdeen Group), it is becoming far too expensive for organizations to continue to issue checks as a primary or backup method of payment disbursement. Payment Data Systems’ card issuance platform offers customizable web and native mobile applications that facilitate the collection and use of both physical and virtual cards for refunds, security deposits, claims, corporate expenses, disbursements and promotions, or any number of unique money disbursement applications. Its mobile applications facilitate push-button provisioning to mobile wallets, and cardholders can add cards to Apple Pay, Google Pay and Samsung Pay moments after receiving a notice via email or SMS.
“There is a lot of excitement about virtual card issuance and real-time payment disbursements. Consumers want options when it comes to how they get paid – most are seeking a faster way to receive pay and some simply don’t have access to an account that can retrieve real-time disbursements,” said Louis Hoch, CEO of Payment Data Systems. “This forces complexity on businesses tasked with making these payments and often requires them to partner with multiple providers and/or integrate with multiple systems. By combining our traditional payment services with our card issuance platform, we now offer a solution that can disburse funds in a variety of economical ways.”
Commenting on the announcement, Houston Frost, SVP of Prepaid Products said, “Much of the competition in the card issuance space seem to think all businesses need is an API. However, we have found most prefer a more inclusive solution that completely removes the development, operational and management burden of issuing cards. Our clients provide us with a list of emails or phone numbers and amounts, and we handle the delivery, collection and management of the issued physical or virtual card from there.”
About Payment Data Systems, Inc.
Payment Data Systems, Inc. (Nasdaq: PYDS), a leading integrated payment solutions provider, offers a wide range of payment solutions to merchants, billers, banks, service bureaus, and card issuers. The Company operates credit, debit/prepaid, and ACH payment processing platforms to deliver convenient, world-class payment solutions and services to their clients. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the prepaid sector. Payment Data Systems is headquartered in San Antonio, Texas, and has offices in Franklin, Tennessee, just outside of Nashville.
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Except for the historical information contained herein, the matters discussed in this release include forward-looking statements which are covered by safe harbors. Those statements include, but may not be limited to, all statements regarding management's intent, belief and expectations, such as statements concerning our future and our operating and growth strategy. These forward-looking statements are identified by the use of words such as "believe," "intend," "look forward," "anticipate," "schedule," and "expect" among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including such risks related to the realization of the anticipated opportunities from the Singular acquisition, the management of the Company's growth, the loss of key resellers, the relationships with the Automated Clearinghouse network, bank sponsors, third-party card processing providers and merchants, the security of our software, hardware and information, the volatility of our stock price, the need to obtain additional financing, risks associated with new tax legislation, and compliance with complex federal, state and local laws and regulations, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission including its annual report on Form 10-K for the fiscal year ended December 31, 2017. One or more of these factors have affected, and in the future, could affect our businesses and financial results in the future and could cause actual results to differ materially from plans and projections. We believe that the assumptions underlying the forward-looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to our management. We assume no obligation to update any forward-looking statements, except as required by law.