Mastercard and Rellevate Partner to Enhance Public Sector Digital Payments

Mastercard has partnered with FinTech company Rellevate to enhance payment and disbursement services in the public sector, according to PYMNTS. This collaboration aims to leverage Rellevate’s digital banking, disbursement, and wallet solutions to provide underserved communities with greater access to digital payments technology.

According to a joint release from the companies, the partnership will focus on helping local, city, and state governments implement digital payment solutions that offer safety, security, transparency, and speed. «Together, Rellevate and Mastercard will work with local, city, and state governments to create ways for their constituents to access and manage their money faster and more efficiently,» the release stated.

Stewart Stockdale, Rellevate’s co-founder, chairman, and CEO, highlighted that the partnership began with Georgia’s $1 billion One-Time Cash Assistance Program. This initiative supported three million residents and included one of the largest deployments of virtual wallets in a government program. Rellevate has also worked with organizations such as UNICEF, Detroit Crime Stoppers, Baltimore African American Male Engagement Program, St. Lucie Public Schools, and foster care agencies to implement a unique digital wallet solution.

The rise of digital wallets is transforming the payments landscape. A recent Worldpay report, as noted by PYMNTS, projects that digital wallets will surpass debit cards in transaction value within three years. By 2027, digital wallets are expected to account for nearly half of all point-of-sale transactions globally, with their use by 53% of Americans driving this shift. The report suggests that digital wallets could dominate payment methods, increasing their share of transaction value from 15% to 31% by 2027.

This shift is attributed to the convenience digital wallets offer, leading to increased consumer spending. On average, digital wallet users spend 31% more than those using other payment methods, a trend especially pronounced among younger generations, including 60% of Gen Z and 51% of millennials.