BBVA Compass goes after growing prepaid market, upgrades its card with budgeting app

- App automatically learns spending habits, suggests customized budgets

- Usage of prepaid cards has expanded significantly, with millennials leading the way

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Sep 21, 2015, 10:00 ET

BIRMINGHAM, Ala., Sept. 21, 2015 /PRNewswire/ -- BBVA Compass, in a nod to the increasing use of prepaid debit cards across all ages and income levels, is debuting its ClearSpend card with a mobile budgeting app to give users better control of their financial lives.

Watch the demo video to learn more about ClearSpend.

After the first 30 days of using ClearSpend, budgets and spending categories are automatically set up for users, providing better control of finances.

BBVA Compass corporate logo

The app for the BBVA Compass ClearSpend prepaid Visa® debit card helps customers track and manage everyday spending. The card, a replacement of the bank's SafeSpend card, is the latest product to embody the bank's new "banking on a brighter future" brand platform, which conveys its desire to put consumers in better control of their finances through trusted advice and personalized, fast and convenient services.

"Our research shows a rapidly expanding market, with more clients turning to prepaid cards to manage their budgets, stay out of debt and avoid overdraft and check-cashing fees," said BBVA Compass Chief Digital Banking Officer Jeff Dennes. "The cards are more mainstream now and expectations have risen. Clients expect greater account management functionality, and we've responded with one of the most convenient and easy-to-use products in the industry."

The BBVA Compass ClearSpend app, which was developed in partnership with Engage Financial Technology, tracks expenses made using the ClearSpend Visa® card, and after 30 days of spending, it automatically creates personalized budgets -- which clients can adjust -- for groceries, entertainment, transportation, dining out and other categories based on monthly spending habits. Real-time in-app mobile alerts contain information on transaction amounts and locations, current balances and category budgeting trends, helping clients monitor purchases and control spending. Clients can block or unblock a card, as well as report a card lost or stolen from within the app.

"ClearSpend gives our clients clarity, providing invaluable insights into how they use their money," Dennes said. "It's great for anyone looking to track their discretionary funds, create a household budget or as a way to teach young people about spending money."

The usage of prepaid cards among consumer groups has expanded significantly in recent years, with millennials, adults 18 to 32, leading the way, according to internal and external research -- like the findings in "Millennials with Money: A New Look at Who Uses GPR Prepaid Cards," a recent study co-authored by a Federal Reserve Bank of Philadelphia official. Prepaid cards are no longer primarily sought by underbanked or lower-income consumers, but also by consumers who need a way to budget their money or teach teenagers how to budget.

"Many clients with traditional bank products and services are adding prepaid cards to their suite of financial services, and income level has also become less of an indicator of who's using the product," said Dennes.

Customers can apply for the BBVA Compass ClearSpend online, at any BBVA Compass branch or by downloading the free BBVA Compass ClearSpend app from the Apple iTunes App Store or Google Play. Funds can be added to the card in several ways, including: by loading funds from a BBVA Compass debit card on the app, by direct deposit, by transferring funds to ClearSpend with services like popmoney, or by loading cash at any BBVA Compass branch or Visa ReadyLink location. For more information, visit www.BBVACompass.com/getclear.

About BBVA Group
BBVA Compass is a subsidiary of BBVA Compass Bancshares Inc., a wholly owned subsidiary of BBVA (NYSE: BBVA) (MAD: BBVA). BBVA is a customer-centric global financial services group founded in 1857. The Group has a solid position in Spain, is the largest financial institution in Mexico and has leading franchises in South America and the Sunbelt region of the United States. Its diversified business is geared toward high-growth markets and relies on technology as a key sustainable competitive advantage. Corporate responsibility is at the core of its business model. BBVA fosters financial education and inclusion, and supports scientific research and culture. It operates with the highest integrity, a long-term vision and applies the best practices. The Group is present in the main sustainability indexes. More information about the BBVA Group can be found at www.bbva.com.

About BBVA Compass
BBVA Compass is a Sunbelt-based financial institution that operates 672 branches, including 341 in Texas, 89 in Alabama, 77 in Arizona, 62 in California, 45 in Florida, 38 in Colorado and 20 in New Mexico, and commercial and private client offices throughout the U.S. BBVA Compass ranks among the top 25 largest U.S. commercial banks based on deposit market share and ranks among the largest banks in Alabama (2nd), Texas (4th) and Arizona (5th). BBVA Compass has been recognized as one of the leading small business lenders by the Small Business Administration, and its mobile app recently earned the Mobile Banking Leader in Functionality Award for the second consecutive year from Javelin Strategy & Research. Additional information about BBVA Compass can be found at www.bbvacompass.com, by following @BBVACompassNews on Twitter or visiting newsroom.bbvacompass.com.