Peoples Trust is expanding its Canadian prepaid issuing services to U.S.-based program manager SVM. The partnership stems from SMV’s acquisition earlier this year of program manager 1to1 Card, which had an existing issuing relationship with Peoples Trust in Canada. For Vancouver-based Peoples, the addition of SVM to its roster of program manager partners represents the next step in the company’s strategy of providing issuing services for U.S. providers looking to enter Canada’s fertile prepaid market. The country’s open-loop segment is projected to grow an additional US$9.4 billion by 2020 from $4.9 billion in 2015, according to market research firm Euromonitor International.
“Canada is one of the fastest-growing prepaid markets in the world, providing great opportunity for U.S. prepaid program providers like SVM to expand north of the border,” Peter Read, president of Peoples Card Services, a subsidiary of Peoples Trust, tells Paybefore. “New entrants are coming in because the transition is relatively simple. And, many corporations have operations on both sides of the border, so for a prepaid provider, having a Canadian division is important in attracting corporate clients.”
Illinois-based SVM was awarded a Best-in-Category trophy at the recent 2016 Pay Awards for its Phillips 66 TANK5 Promotion. The company’s March acquisition of 1to1Card—itself a Pay Awards winner in 2015—enabled SVM to expand its product offerings beyond its previous closed-loop specialties into open-loop verticals including GPR, loyalty, incentive, rebate and payroll cards.
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