OPEN LOOP GIFT CARDS:
Open Loop products are made up of credit card and debit card products including Visa, MasterCard, American Express, and Discover. The cards are considered “Open” because they can be redeemed or used at almost any location. Traditionally, Retailers will hold stocks of these products, which are available at point of sale, and the cards are activated upon purchase.
Here’s a snapshot of the market for Open Loop Gift Cards and what you need to know about ATMs and Open Loop Products.
- Gift Card Sales Numbers
- Special considerations
- ATM Capabilities
- What Do I Need to Do to Start Selling Open Loop Gift Cards from My ATM?
1. Gift Card Sales Numbers
- Approximately 50 million Open Loop Gift Cards are sold annually and supplied by about 10 providers.
- Open Loop Gift Cards are available from a wide range of retailers and the vast majority is sold in denominations of $25-$200. Larger amounts are available, but not common.
- For approximately 90 percent of cards, no personal data is captured because, as the name suggests, they are purchased as gifts for other people. Back to List
2. Special considerations
- Open Loop Gift Cards require Better ATMTM Services ‘ Phase II technology to properly activate the card during the purchase process.
- A sponsoring bank is required for proper authorization to sell Open Loop Gift Cards
- Better ATMTM Services has designed and developed approved Open Loop Gift Cards for distribution by certified ATM owners including Financial Institutions, Credit Unions, and ISOs. Back to List
3. ATM Capabilities
- Due to the size requirements of the Open Loop Gift Cards, only specific ATMs are capable of dispensing the cards. The following manufacturers have ATMs capable of dispensing Open Loop Gift Cards:
- Better ATMTM Services’ Phase II technology must be installed on the ATM in order to properly activate an Open Loop Gift Card during the purchase process. Back to List
4. What Do I Need to Do to Start Selling Open Loop Gift Cards from My ATM?
