February 16, 2007

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  NEWS: Albertans to Have Debit Cards for Welfare

  The Canadian province of Alberta had previously rolled out a pilot program to distribute funds to those on public assistance by debit card, rather than by check. They announced this week that, in light of the program's success of implementation and widespread public approval in the cities of Edmonton and Brooks, that the program will be expanded.

  
  There are about 26,000 Albertan citizens on public assistance, and it is estimated that 6,000 of them do not have bank accounts into which the checks can be deposited. This creates a dangerous situation in which these citizens are carrying around an amount of cash that makes them susceptible to accidental loss or theft of essential funds, without which they might not be able to eat or pay rent. Hence, the introduction of the debit cards, which are not only reported to help the disadvantaged manage their money, but also save them the fees of those places that cash checks for those without bank accounts.

  
  The debit card users can access their money at any ATM, or use it for purchases at those merchants who are equipped with Interac PIN machines on their point-of-sale equipment.

  
  The debit card program will expand across Alberta by summertime, making the province the first in Canada to be totally integrated under such a system. Under the pilot program, the province covered the service fees for the debit cards. A representative for the program was unsure at the time as to who would be picking up the cost under the expansion.
   

  
  
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