Millions of consumers without traditional banking relationships can use Apple Pay, now that ADP, a major provider of payroll cards, has joined the mobile payments bandwagon.
Payroll card provider ADP has integrated its ALINE reloadable prepaid card with Apple Pay, the company said Jan. 7. ADP's Visa- and MasterCard-branded payroll cards, used by companies to deliver wages to unbanked and underbanked employees, will be among the first reloadable prepaid cards to integrate with Apple Pay, observers said.
Roseland, N.J.-based ADP added Apple Pay to enhance cardholders' convenience and security, said Gary Lott, ADP's division vice president and general manager. Other major prepaid card issuers are still working to integrate reloadable cards with Apple Pay.
Rival products such as American Express Co.'s Serve and Bluebird prepaid cards are not available on Apple Pay or Android Pay. "We made the decision to roll out Apple Pay to our credit and charge customers first and we're assessing their response as well as interest," an American Express spokesperson said.
NetSpend, the prepaid card brand owned by Total System Services (TSYS), also has not yet connected users to Apple Pay or Android Pay, but a spokesperson said NetSpend plans to add those services during the second quarter of this year.