Now This Makes Cents!
Posted
7/19/2012 8:21:00 AM
For once, Toronto is ahead of the curve. The city is rolling out the province’s first welfare debit card. Five of the city’s fifteen social assistance offices are the launch pad, with the other offices coming on board in fairly short order.
This will save money on both sides; for the city and for recipients. Twenty-five percent of welfare recipients do not have bank accounts so they can’t opt in to the direct deposit option. Instead they resort to those cheque cashing outlets that have rates bordering on usurious.
These cards work just as a normal debit card works and can be used at ATMs and in stores. The cards also carry the latest in PIN and chip technology.
The cards also decrease the risk of being robbed after cashing that monthly stipend.
Recipients may save up to $200 on those cheque cashing fees and the city could save up to $2.5 million a year by no longer having to print and mail these cheques.
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John Oakley
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