You go to the ATM to pull out cash. The ATM asks you which of your accounts do you wish to withdraw from. Therefore, the debit card has special sections in the card’s EMV that supports multiple accounts. Well, the same will apply for the “digital pocket” feature of the ID card. The ID card will be able to reduce the number of cards one has to carry. Examples of this will include public transit, and SNAP benefits.
With regard to public transit, the person will wait at a bus stop. When their bus arrives, they will be able to tap their ID card on the card reader. If there are funds in the KTA’s digital pocket, then the funds will come out of that pool. This will allow KTA to offer incentives for adding funds to the KTA digital pocket. This will also reduce the number of transactions that would have to draw from the rider’s bank account. One example of incentive will include a pass for a number of hours, as opposed to no pass using the debit transaction from the account. This will mean the customer does not need a special fare card. In addition, there will be no cards sold by KTA – instead relying completely on the digital pocket feature.
Another option is for SNAP benefits. This is an option in a household of one, or when there is a single guardian. The recipient will be able to use their ID card, and a digital pocket with their SNAP benefits. This allows the recipient to not require possessing a SNAP card – which again, reduces the number of cards one might have to carry. When paying, the recipient will select SNAP, and provide their PIN number for the SNAP account. Funds are withdrawn on qualifying purchases with the remainder coming out of the recipient’s bank account.
Digital pockets will be upgradeable. HHS which provides for ID cards will be able to create up to 25 digital pockets for various resources. In example, if Food Plus was to offer a loyalty rewards program, then a digital pocket can be established for the rewards program – again, eliminating the need for various cards. Only government owned businesses will be able to support digital pockets.