Today, most paycards are branded, meaning bear the logo of a major payment brand such as Visa, MasterCard or Discover. Branded paycards are widely accepted and offer employees greater flexibility and utility. They can be used to make both signature- and PIN-based purchases at merchant locations worldwide. In addition, branded paycards can be used to pay bills over the Internet or by telephone, and to make withdrawals from the teller at financial institution branch locations and ATMs.
Unbranded paycards can be used for cash withdrawals at ATM machines and for transactions at any establishment that has a PIN-pad device, such as purchases at retail outlets, grocery stores and convenience stores. Unbranded paycards cannot be used to make purchases or pay bills online or over the telephone.
Both branded and unbranded cards can be used to obtain cash back at participating merchants if the transaction is a PIN debit transaction.