Government Electronic Payment Programs on The Rise


Electronic payments have been one of the fastest-growing payment methods in Canada. Finding more cost-effective, safe, and secure payment alternatives has always been a priority within the government. Due to the wide array of benefits that electronic payments and payment cards offer, government agencies are more frequently considering them as an option.

Payment cards can be used in place of either direct deposits or wire transfers, giving end users quicker access and more flexibility to use funds. They are also beginning to replace cheques as a more cost-effective and secure solution for disbursing government programs such as pensions, education funds, employment benefits, and so much more!

According to the Canadian Prepaid Providers Organization (CPPO), government studies have shown that cheques cost approximately 0.82 cents to issue versus 0.13 cents for an electronic payment.

Electronic payments also streamline multi-layered internal processes that often delay disbursements. For example, in cases of emergency situations, payment cards allow government agencies to quickly issue emergency allowances and distribute benefits on the spot, while substantially reducing the potential for fraud. Funds can be easily accessed by cardholders through POS, ATMs, and online.


– Reduce time and cost to print and distribute paper cheques
– Eliminate issues related to lost or stolen cheques
– Automation and security restrictions substantially reduce fraud
– Funds are available immediately through online access
– 24/7 customer service
– Provide recipients the ability to pay bills and make purchases online safer and faster
– Robust back-end system generates in-depth reports, creating greater transparency
– Payment card can be used for various types of disbursements, one solution for all!

Electronic payment programs provide an ideal solution for under-banked clients who use various government programs as well. The cards have a reloadable option; therefore, they provide a simple distribution mechanism for recurring payments. They also offer recipients immediate access to funds, reduced reliance on expensive cheque-cashing services, and a safer alternative to carrying cash.

Payment cards are a sound vehicle for these and many other government disbursement programs. If you are looking at implementing an electronic payment solution for your department or agency, contact us to find out more about our existing solutions or to discuss a customized program to fit your particular requirements.

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