AmSouth Introduces Payroll Card, Providing Direct Deposit Convenience to Customers Without Checking Accounts.

Business Editors

BIRMINGHAM, Ala.--(BUSINESS WIRE)--Jan. 30, 2003

AmSouth Bank (NYSE:ASO) has introduced a new way for companies to pay employees, providing the convenience and security of direct deposit - even for employees who don't yet have checking accounts.

The AmSouth Payroll Card gives a company's employees the convenience of accessing their funds either through an ATM machine or at any location that accepts Visa and offers the security of not having to carry cash. In addition, it can provide an alternative for employees who have been paying high check cashing fees.

"This provides a clear benefit for both employees and the companies that use it," said Steve Rueve, a senior vice president in Commercial Banking. "It's a great additional benefit for employees who don't have a checking account, and the companies can streamline their payroll process and reduce the number of checks they write."

Rueve added that the Payroll Card will help AmSouth serve the "unbanked," who either by choice or necessity rely on check-cashing centers and pay disproportionately high fees. The card will also provide greater security, giving workers an alternative to carrying large amounts of cash.

Here's how it works: An employer who has signed up to participate in the Payroll Card program uses direct deposit to deliver money to participating employees' Payroll Cards. Employees who opt to receive their pay through the Payroll Card don't pay a monthly fee for the card and are not subject to credit checks that may prevent them from signing up for a free checking account. The employees have a number of options for accessing their funds using the Payroll Card:

-- Make a withdrawal at any ATM that accepts Visa;

-- Use the card at any merchant that accepts Visa;

-- Receive cash back from any Visa point of sale;

-- Withdraw cash from any Visa participating bank;

-- Buy U.S. Postal Service Money Orders;

In addition, employees using the Payroll Card will receive a monthly statement of activity on the card, can obtain balance information free at any AmSouth ATM or by calling a toll-free number, and will receive a personal transaction register for tracking use between statements.

In providing this new product, AmSouth has partnered with Visa, which provides global access to the funds; global payments processor TSYS (NYSE: TSS), which will process the transactions; and Crittson Financial LLC, which will provide customer service and card fulfillment.

About AmSouth

AmSouth (NYSE:ASO) is a regional bank holding company headquartered in Birmingham with $41 billion in assets, 600 branch banking offices and more than 1,200 ATMs. AmSouth operates in Tennessee, Alabama, Florida, Mississippi, Louisiana and Georgia. AmSouth is a leader among regional banks in the Southeast in several key business segments, including consumer and commercial banking, small business banking, mortgage lending, equipment leasing, annuity and mutual fund sales, and trust and investment management services. AmSouth also offers a complete line of banking products and services at its web site, www.amsouth.com.