First Data Corporation, a global leader in electronic commerce and payment processing, today announced an agreement to integrate bill payment processing services from TIO Networks (TSX-V: TNC), a leading North American multi-channel bill payment processor, with First Data's Money Network electronic payroll distribution service.
First Data's Money Network electronic payroll distribution service enables employers to reduce payroll costs while providing a secure, flexible spending card solution to their underbanked employees, which cardholders can use to make purchases at millions of debit acceptance locations.
According to a December 2009 survey by the Federal Deposit Insurance Corp., 9 million households are unbanked and another 17.9 million households are underbanked.
Checks, cash and money orders are the primary bill payment methods used by unbanked and underbanked consumers, according to Aite Group, which estimates that 32 percent of unbanked and underbanked bill payments are made by check, 30 percent by cash and 21 percent by money orders.
Now, as a result of the relationship with TIO, Money Network cardholders will be able to pay bills online, by phone, and in some cases at self-service kiosks, thereby reducing the time and cost of paying bills. TIO's bill payment processing solution is designed to provide cardholders a secure and convenient bill payment experience.