'What’s Really Moving the Needle in Prepaid?'
- 17 hours ago
- 5 min read
Canadians are embracing a new prepaid experience, built on instant utility, on‑demand access to funds and visible, branded connections between companies and their customers. As real-time payout expectations collide with increasingly intermediated digital journeys, prepaid has become the bridge between digital-first banking, earned wage access and the last mile of payroll, benefits and everyday spending.
In this Q&A, Asad Saeed, ABCorp's Head of Client Partnerships & Growth, unpacks what is really moving the needle in prepaid today, from instant payout liquidity and branded credentials that defend customer relationships to unified “tap-to-everything” cards anchored on a single, secure element.
He also shares how ABCorp’s 230-year security heritage and agile, localized card manufacturing help Canadian fintechs and financial institutions get to market faster while keeping their prepaid programs firmly in their customers’ hands.
What do you think is the biggest force propelling the prepaid market’s growth today?
At ABCorp, we are often asked what’s really moving the needle in prepaid. While the numbers are growing steadily, with the Canadian open-loop prepaid market projected to reach $19 billion by 2028 in annual loads (per CPPO / Datos Insights data), the real driver isn't just the tech. It’s the demand for instant utility.
Prepaid has transitioned from a basic budgeting tool into the essential bridge between digital-first banking and a customer's real-world spending. But there is a deeper, more strategic force at play that we often overlook: brand defense.
Think about the mobile phone experience. When a customer holds up their phone to pay, they are staring at a dominant platform’s logo, not yours. In that moment, your brand is effectively invisible.
That is why we believe the physical prepaid card remains so powerful. It extends a company’s identity directly into the customer’s hand. It’s tangible, it’s present, and it’s one of the last remaining channels where a company can maintain a direct connection and data visibility in an increasingly intermediated digital world. For the mobile-first generation, that blend of a secure physical anchor and a digital account is where the real growth lives.
What’s one product or service that prepaid is impacting today that isn’t getting enough attention in the payments industry?
Much of the payments industry focuses on consumer spending, but one area we observe as demanding more attention is the instant payout liquidity that prepaid cards provide. At ABCorp, we see this last mile of payroll and payouts as a vital opportunity. For a gig worker or an individual awaiting social benefits, a three-to-five-day settlement delay is not just a technicality; it is a barrier to their livelihood. Prepaid rails are a proven and compliant way to bypass those legacy delays and deliver immediate access to funds.
However, there is a broader shift occurring. Younger consumers do not view the financial ecosystem in stovepipes. To them, credit, debit, prepaid, and digital wallets are not separate categories; they are simply tools to solve a specific problem in the moment.
For businesses, this represents a strategic turning point. These instruments are no longer just payment products. They are some of the last remaining avenues to maintain a direct and trusted relationship with the customer. In a world where every other digital interaction is being intermediated by big tech, owning that physical and digital anchor is how you keep your brand present and your connection to the customer alive.
What’s the biggest prepaid innovation use case you’re seeing today?
When we talk about the most transformative use case in the market today, we are really talking about a fundamental shift in how Canadians expect to be paid. We are moving toward a world of earned wage access and on-demand liquidity. The real innovation isn't just the card in your wallet; it is the real-time infrastructure behind it that makes immediate access possible.
At ABCorp, we help companies move away from legacy bi-weekly pay cycles and toward models where gig workers and employees can access their income the moment they earn it. By turning prepaid cards into real-time liquidity tools, we are removing the friction that usually sits between a person and their money, providing a level of financial flexibility that millions of people now depend on.
There is also a much larger force accelerating this market that we are only starting to see: the way AI is creating a gap between businesses and their customers. As AI agents and digital wallets increasingly sit in the middle of every transaction, that direct, personal relationship is being eroded.
This is why we believe a branded prepaid credential is so vital. It acts as an anchor that allows a business to bypass those digital intermediaries and maintain a trusted, visible connection with the user. In an economy where AI threatens to make brands invisible, owning that physical and digital touchpoint is no longer just a feature; it is a strategic necessity.
How can the prepaid market best position itself to navigate today’s regulatory climate?
To many people, compliance feels like a box to check or a legal hurdle to clear. But in the current landscape, we see robust security and regulatory frameworks as a core product capability. It is the very foundation that allows a company to move fast and scale without looking over its shoulder.
At ABCorp, we lean on a 230-year legacy of secure manufacturing to provide institutional grade security for our partners. This is not just about following rules; it is about giving businesses the data sovereignty and operational confidence they need to grow. We want our partners to know that their infrastructure is already proactively aligned with the next generation of regulatory expectations.
What’s new in prepaid at your company? Tell us about your latest product innovations and where they’re gaining the most traction.
When we look at what is new at ABCorp, the focus is really on how we can help Canadian fintechs and financial institutions get to market faster and with more flexibility. We are seeing the most traction by solving the speed to market challenges that have traditionally held these programs back. We do this through agile small batch personalization that can seamlessly scale into high volume production. It is all about accelerating the path from card issuance to the first spend.
Our recent initiatives include localized dual interface solutions and full support for advanced chip architectures. This is designed to help our clients move from a concept to a top of wallet position without ever having to compromise on the security or reliability of their programs.
By prioritizing rapid and localized production, we are giving businesses a way to put a branded touchpoint directly into their customer’s hands. In a market where digital interactions are becoming increasingly crowded, being able to launch a secure and tangible connection quickly is a strategic necessity for maintaining a trusted relationship with the user.
What’s next for prepaid innovation over the next 1-3 years?
Looking ahead over the next few years, we believe the next phase of prepaid innovation is going to center on unified, multi-modal credentials. In Canada, we are already seeing a significant shift toward a “tap-to-everything” experience. This is where a single secure element on a card can support much more than just a payment; it can handle physical access, loyalty programs, and even hardware level authentication all in one place.
Ultimately, this is about making the technology invisible so the utility can take center stage. By creating a single touchpoint that solves multiple problems for the user, we help our partners stay relevant in a landscape that is becoming increasingly digital and complex. It is about ensuring the card remains a vital, multi-functional tool that people reach for every single day.
At ABCorp, we are leveraging our global presence to bring this next generation architecture and advanced substrates to the Canadian market. It is about allowing prepaid solutions to evolve beyond traditional payments and become versatile, secure credentials for everyday interactions.