NEW YORK (AP) -- Wal-Mart Stores Inc. and American Express are rolling out a prepaid card that they say offers unique services designed to help shoppers manage and control their everyday finances.
The two companies said Monday that Bluebird, begun during a pilot program late last year, acts like a checking account but without the fees that have increasingly frustrated shoppers. It will have no minimum balance and no monthly, annual or overdraft fees. They say the only fees that will be associated with the card will be transparent and within the user’s control, such as out of network ATM withdrawals by consumers who don’t use direct deposit.
Instead, what Bluebird will be loaded with is a number of features, including the ability to deposit a check to one’s Bluebird account by simply taking a picture with a smart phone. It will also offer the same fraud protections in an event the card is stolen or lost as other standard cards.
The move comes as Amer ican Express is looking for new ways to expand its customer base beyond its traditional wealthy clientele.
Bluebird’s rollout also signals how competition for prepaid cards, once the domain of non-bank companies, is heating up.
Wal-Mart and American Ex press say Bluebird was improved since the pilot test, based on feedback from consumers who said they were bothered by rising fees related to checking accounts and debit services.