AccountNow

About AccountNow

AccountNow, Inc. operated as a provider of financial solutions tailored for the estimated 40 million U.S. consumers without established credit or traditional banking relationships. Founded in 2004 and headquartered in San Ramon, California, the company focused on offering alternatives to conventional checking accounts. By 2011, the company had processed over $2 billion in annual transaction volume, demonstrating significant growth in the reloadable consumer prepaid debit card sector. A key figure in the company's history was Timothy Coltrell, who served as CEO in 2006.

The core of AccountNow's business was providing Visa and MasterCard prepaid cards. These cards functioned as a pay-as-you-go financial tool, allowing users to only spend the amount loaded onto the card, thereby avoiding overdraft fees and the risk of accumulating debt. The business model centered on monthly subscription fees, which were $9.95, and transaction fees for services like ATM withdrawals. Revenue was generated through these fees. Customers could load funds onto their cards via direct deposit from employers or government benefits, or through cash transfers at 135,000 locations using services like MoneyGram and Western Union. The cards were issued by financial institutions such as The Bancorp Bank and MetaBank.

In June 2011, AccountNow merged with Ready Financial Group, Inc., with AccountNow's CEO, Jim Jones, leading the combined entity. This merger was aimed at expanding product lines and accelerating growth. The most significant milestone in the company's trajectory occurred in January 2015, when Green Dot Corporation, a major player in the fintech and prepaid card industry, acquired AccountNow. This acquisition was part of Green Dot's strategy to consolidate its position as a top prepaid card program manager in the U.S. and expand its direct-to-consumer offerings. Following the acquisition, AccountNow's online presence and operations were integrated into Green Dot's portfolio. The AccountNow branded cards were eventually discontinued, with existing accounts being closed as of April 19, 2023.