The prepaid card provider SpendSmart Payments Co., known for having Justin Bieber as its promoter, is expanding its business to serve the government market.

SpendSmart, of Des Moines, Iowa, has agreed to become the card program manager for a company that issues approximately 12,000 cards per month through local, county and state governments, it announced Sept. 26. It did not disclose the name of the company or further terms of the agreement.

"Our entry into the prepaid card program manager market for the government segment provides us an excellent opportunity to further expand to other prepaid card program segments," says Bill Hernandez, SpendSmart's president, in a news release. "We expect this initiative will further enhance our revenue lines and our ability to support third-party prepaid card programs with our SpendSmart Program Manager business line."

SpendSmart's program-management platform provides operational and customer-service support to prepaid card marketers. Its primary product is a prepaid MasterCard for teenagers.

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