Public Sector

A Higher Standard Of Public Service

You're probably working every day to control costs, improve cash flow, and ensure better compliance. All public sector institutions, whether at various levels of government, transportation authorities, or any public agency, are facing the same challenges. MasterCard acceptance can help you meet your goals, especially in this age of advanced technology and online payments. Today, acceptance of payment cards by public sector organizations is rising. Cards are used to pay for everything from taxes and child support to public transit and DMV transactions.

Public sector agencies can benefit in many ways from card acceptance. Reducing check and cash transactions yields immediate cost savings on check deposit or lockbox fees, bounced checks and armored car service. Card acceptance also reduces the cost of labor to process transactions, mail and deposit float, and reconciliation and shrinkage. MasterCard acceptance can also be helpful in reducing delinquencies.

Payment card acceptance is playing a growing role in helping agencies to achieve the following important financial and customer service goals:


Credit and debit card acceptance allows agencies to automate fee collection via the Internet, automated telephone voice response units, and self-service kiosks. Card transactions are often completed more quickly and efficiently than transactions that involve making change, filling out forms, or processing checks.

Automated transactions can also result in substantial labor savings by reducing customer traffic in field offices with high labor, real estate, and overhead costs. In addition, payments in cash or by check may create additional expenses such as armored car services, data entry costs, and bank deposit or lockbox fees.


The electronic payment methods available with cards today can result in funds deposited in an account more quickly, allowing you to earn faster. In addition credit and debit card payments made by telephone or in a face-to-face environment can eliminate "mail float"-the forgone while checks are in the mail.


When card transactions displace check transactions, the resulting volume of checks returned for "nonsufficient funds" (NSF) and their associated fees, penalties and collection costs are reduced. This also diminishes redeposit fees that your agency must pay, as well as the cost of processing additional transactions.


Card acceptance offers payment flexibility, allowing cardholders to spread payments out over time. This can result in healthier collection rates of taxes, fees, and fines and increased revenues. Consumers also appreciate the convenience of debit cards that enable them to access a checking account without writing a check.


Electronic payment methods allow public sector agencies to match the level of customer service typically provided by companies in the private sector. Shorter waiting times, better customer relations, and greater access to information are all possible. Consumers expect the speed, convenience, and payment flexibility that cards offer. They demand an ever-wider variety of payment choices from government agencies. In fact, the costs involved in card transactions can often be partially or fully offset by the benefits of MasterCard acceptance.

Acceptance Can Lower Costs, Improve Service, and Increase Revenue in Many Public Sector Categories.


Late child support payments can drain state and local resources, and agencies involved in collecting court-ordered child support often face compliance problems when constituents are short of funds. Card acceptance can help individuals receive timely child support payments, improve collection rates, and increase revenues. Non-custodial parents can make payments online or arrange to have recurring payments debited from their account. Allowing cardholders to spread payments out over time helps families become more self-sufficient while saving taxpayers money.

Download the Case Study, Simplified Child Support Payments.


Agencies responsible for collecting taxes, fees and fines often struggle with compliance problems when constituents are short of funds. Card acceptance offers payment flexibility, reducing paperwork and enabling cardholders to spread payments out over time. Greater payment flexibility can result in healthier collection rates and increased revenues.


From issuing drivers' licenses and registering vehicles to collecting fuel taxes, card acceptance offers a convenient and more efficient way to conduct daily business. Credit and debit card acceptance can streamline revenue collection. And consumers can use their cards to conduct routine DMV transactions by telephone or online.

Download the Case Study, How the Virginia Department of Motor Vehicles Improved Efficiency.


To accommodate increased ridership and the public's demand for better service, transportation agencies are installing new ticket and turnstile equipment. Automation helps agencies to streamline operations and cut costs by reducing cash transactions. Card acceptance provides quicker payment and access to funds and offers expanded purchasing and payment options for riders. They can use payment cards at ticket vending machines or buy advance tickets online at any time, nearly anywhere. And SmartCard and Magnetic Stripe card programs allow riders to purchase bulk trips from an agency in advance.

Download the Case Study, How The Long Island Rail Road Enhanced Customer Service and Improved Operations.


Agencies collecting state and local taxes conduct a high volume of business. By accepting card payments, tax collection agencies can reduce paperwork by facilitating paperless returns. Electronic filing also enables agencies to collect and process payments more efficiently and reduce handling costs and fees due to lost and returned checks. Taxpayers benefit from more convenient payment options and quicker refunds.


Your role is to serve the public more productively and efficiently. Our role is to serve and support you in accomplishing that goal. In addition to managing the financial settlement and authorization systems, MasterCard administers the systems' operating rules and regulations, develops programs to open new merchant segments, and creates new payment programs and services. Of course, we also promote and advertise the MasterCard Brands.


Open your business to an ever-widening population of prepaid cardholders. For all types of consumers, a MasterCard Prepaid Card is the easier way to pay.


A large percentage of consumers have indicated that SecureCode would increase their likelihood of buying more online.