Child Support Enforcement COLLECTIONS/RECEIPTING/POSTING

NCKIDSCARD (DEBIT CARD) PROGRAM FOR CLIENTS

GENERAL INFORMATION

This topic contains information on the following subjects:

1. An overview of the ncKIDSCard (debit card) program;

2. The benefits of the ncKIDSCard (debit card) program;

3. The criteria for the ncKIDScard (debit card) program;

4. Exclusions from the ncKIDScard (debit card) program;

5. How the ncKIDScard (debit card) process works;

6. Customer service information for the ncKIDScard (debit card) program;

7. Terminating participation in the ncKIDScard (debit card) program.



NCKIDSCARD (DEBIT CARD) PROGRAM OVERVIEW

The N.C. CSE program began to phase in the "ncKIDScard" (child support debit card) program in April 2007. Clients have the option of receiving their child support payments through direct deposit or through the "ncKIDScard" program. Electronic payments have replaced paper checks for most clients.

If a client does not request direct deposit and meets the enrollment criteria, he/she will be enrolled in the ncKIDScard program. During the initial implementation period, any client who had received a child support check in the last six (6) calendar months and did not request direct deposit was enrolled. Payments from the noncustodial parent are deposited automatically into the client's ncKIDScard account, where clients can access the funds by using a VISA debit card that is issued to them.



BENEFITS OF NCKIDSCARD (DEBIT CARD)

The benefits of the "ncKIDScard" program are:

• Clients can use the "ncKIDScard" to make purchases wherever VISA debit cards are accepted.
• Clients can get cash back at retail stores that accept VISA debit cards or get cash from automated teller machines (ATMs).
• Clients can receive free point-of-sale (POS) transactions at all retail locations that accept VISA debit cards worldwide.
• Clients can avoid check cashing fees.
• ncKIDScards are safer than paper checks.
• Clients can receive payments faster.
• Clients can obtain account information through the Internet.
• Clients can receive free monthly statements or choose to receive free paper statements through a secure web site: "http://www.smionecard.com".
• Clients can sign up for alerts by email or text message through this web site. They can choose to receive alerts each time a deposit is made to their account or sign up to receive a weekly account balance alert each Friday.

CRITERIA FOR NCKIDSCARD (DEBIT CARD) ENROLLMENT

The "ncKIDScard" (debit card) program replaces paper checks for clients who meet the enrollment criteria and have not authorized direct deposit. (This program began in April 2007.) To qualify for automatic enrollment in the ncKIDScard program, a client must be an active participant in an open case in ACTS and have:

• A Social Security number (SSN) and date of birth stored in ACTS.
• A mailing address stored in ACTS.
• An MPI number greater than "2000".
• Received a child support payment by check. The ncKIDScard enrollment process begins as soon as the client receives a payment by check.

During the initial implementation period, any client who has received a child support check in the last six (6) calendar months is enrolled.



EXCLUSIONS FROM NCKIDSCARD (DEBIT CARD) ENROLLMENT

Some clients are excluded from enrollment in the "ncKIDScard" program, such as clients who already are receiving their child support payments through direct deposit. Also excluded from enrollment are clients in:

• Foster Care cases;
• DSS Director cases;
• Interstate responding cases;
• International cases (if the client has an international address);
• Non-CSE cases in which the payee is a non-participant payee, such as an agency, bank, or attorney.

NCKIDSCARD ENROLLMENT PROCESS

N.C. CSE began to phase in the "ncKIDScard" (child support debit card) program in April 2007. Systems and Methods, Inc. (SMI) originally provided the debit cards through a subcontract with JPMorgan Chase. As each local CSE agency implemented this program, ACTS identified the clients who met the enrollment criteria.

Effective April 2011, SMI manages the "ncKIDScard" program and The Bancorp Bank issues the "smiONE Visa" debit card for new enrollees in the program. The last date of enrollment for the JPMorgan Chase debit card was March 31, 2011.

An enrollment file containing identifying information for each client is sent daily to the private vendor who operates the North Carolina Child Support Centralized Collections Operation (NCCSCC). The enrollment process can take up to (10) business days. If the noncustodial parent (NCP) makes a payment during the processing period, the client receives it by check.

Clients who already have a debit card through JPMorgan Chase are issued a new debit card from The Bancorp Bank, based on a scheduled rollout of local CSE agencies that begins on May 2, 2011. Funds will continue to be loaded to JPMorgan Chase debit cards until after the 10-day pre-note period of enrollment for The Bancorp Bank ncKIDScards.

When the enrollment process is completed, clients receive an ncKIDScard and a welcome packet. Clients must activate the ncKIDScard by calling The Bancorp Bank Customer Service and providing their debit card number and the last four (4) digits of their Social Security Number.

One card is issued per client, based on the client's MPI number. Clients can request up to five (5) secondary cards. If clients request additional cards, they must actually transfer funds to the secondary cards, which gives clients more protection and control. A card is good for four (4) years before it expires.

Child support payments are no longer sent by checks, and all future payments are automatically deposited in the ncKIDScard account within two (2) business days after the NCP's payment has been applied to the client's case.



CUSTOMER SERVICE INFORMATION FOR NCKIDSCARD (DEBIT CARD) PROGRAM

Upon receiving the "ncKIDScard", clients must activate it by calling The Bancorp Bank Customer Service at 1-877-7769765 and providing their debit card number and last four (4) digits of their Social Security Number. If a client's ncKIDScard is lost, stolen, or damaged, the client can get one (1) free replacement card per year.

While every effort has been made to keep costs associated with the ncKIDScard as low as possible, certain ATM fees still apply, such as inactivity fees, balance inquiry and monthly maintenance fees, or fees incurred when the card is used at an ATM outside the AllPoint network. Other fees also can apply.

To verify the account balance for the ncKIDScard, clients can call Thr Bancorp Bank Customer Service, access the account online ("http://www.smionecard.com"), or verify the balance using an ATM machine. Clients also receive monthly electronic or paper statements for their ncKIDScard accounts.

If clients have a balance remaining on their JPMorgan Chase ncKIDScard and have questions regarding the account, they can call the JPMorgan Chase Customer Service at 1-866-834-1120 or access the account online ("http://www.myaccount.chase.com").

When clients contact the local CSE agency with inquiries related to their ncKIDScard or ncKIDScard account, CSE caseworkers should refer them to The Bancorp Bank Customer Service at 1-877-776-9759.



TERMINATING PARTICIPATION IN THE NCKIDSCARD (DEBIT CARD) PROGRAM

Clients can stop participating in the "ncKIDScard" program by requesting the direct deposit of their child support payments. A client can request a change from ncKIDScard to direct deposit for various reasons, including the establishment of a new bank account.

Requests for direct deposit are submitted using the Authorization For Automatic Deposit Of Child Support (DSS-4718). Clients can obtain this authorization form by contacting the local CSE agency or the Customer Service Center or by downloading it from the DSS website: "http://www.ncdhhs.gov/dss/cse/eft.htm" or from the eChild Support website: "http://www.ncchildsupport.com".