Walgreens: Now Filling More Than Prescriptions

It looks as though Walgreens is hoping consumers may want to fill debit cards along with their prescription bottles in 2014, as it recently announced its new prepaid debit card program.

While banking at a retailer like Walgreens may seem a bit strange, prepaid debit cards have been steadily increasing in popularity over the years. Walmart even started its own prepaid debit card program last year. And it’s not like retail stores are the strangest pairing to prepaid cards out there (see: Occupy Wall Street).

Prepaid debit cards have been the main lure for financial institutions looking to tap into the “unbanked” demographic. But while they eliminate many of the costs and hassles associated with a traditional bank account, many feel their fees can create some financial headaches of their own. Walgreens’ fees are on the more mild side with a $2.95 signup and monthly fee. It’s free to withdraw money from in-store ATM’s, but it’ll cost another monthly fee to take money out anywhere else. And users of the card will definitely want to talk to their employers about direct deposit, as putting money on the card any other way will cost you another $2.95.

The card can be used anywhere MasterCard is (including online), though Walgreens certainly isn’t trying to hide where they want its users to shop. They’re coupling the card with a rewards program that offers consumers points for every dollar they spend at Walgreens or Duane Reade as well as money off of future purchases.

While the card is currently only available for use in 250 locations, Walgreen plans to have it available in all stores by the end of the year. With over 8,000 locations, it’s quite possible that consumers will be heading over to the corner of happy and healthy for more than just groceries next year.