Don Farrell (SA, Australian Labor Party, Minister for Trade and Tourism) Share this | Hansard source

Thank you, Chair, for that protection. How will the system work? Services Australia will open an account on behalf of a participant with a deposit-taking institution. Services Australia will also issue a new card to the person. The new card will be a debit card connected to the account. This will provide similar functions to the normal debit card. It will have 'tap and go' with the ability of the person to turn this off if they don't wish to use it. It will have internet banking, using the Visa system. It can be used in stores with access to EFTPOS or Visa card systems, with the exception of blocked merchants such as bottle shops. An account exists in both the CDC and income management programs. The account provides the certainty that funds are available to pay the merchant when the card is used.

This is essential for any transaction card. The account will be a bank account that allows the person to use the BPAY system to pay bills. A person will be able to set up direct debits from their account, and people will not be able to withdraw cash from the account. Services Australia will be responsible for customer-facing services, including opening the account, issuing the card, call centre functions, issuing temporary cards and providing statements and websites for participants. Participants will be able to get information on their account and transactions from Services Australia. This is similar to the services they provide under the income management program. The account provider will perform the back-of-office functions that support the card. These include providing bank account transaction processing, the system that approves transactions at the sales terminal, payment of accounts to Visa and EFTPOS, fraud monitoring and reporting to Services Australia.

In recognition of the unique role of the Traditional Credit Union in providing banking services on country, the government will seek to continue their contract and allow them to provide services to their customers. The TCU are a not-for-profit, Indigenous controlled organisation that employs local staff.