Introduction
The subaccount APIs provide the ability to create, retrieve, and cancel subaccount deposits and withdrawals.
Netspend's Subaccounts
Netspend provides account holders with the ability to create accounts (primary accounts) and subaccounts. If the program is configured to support subaccounts, then the account holder can create subaccounts.
- Subaccounts are subordinate to, and connected to the account holder’s primary account
- Subaccounts are not connected to each other
- Subaccounts must be personal accounts and not commercial or business accounts
Purpose of Subaccounts
Subaccounts enable the account holder to provide funds to be used by the subaccount holder. Account holders can create subaccounts for the following reasons:
- For money management for caregivers
- For money management for family members
- For expense management
The primary account holder can perform the following activities:
- Provide funds for the subaccount holder’s use
- Monitor how the funds are spent
- Place category restrictions on certain expenses based on merchant type
Who Creates the Subaccount
If the program offers the ability to create subaccounts, then the primary, secondary, or joint account holder can create subaccounts. The following conditions need to be met:
- Account holder is KYC approved
- Primary account is active
- Physical Card has been ordered
Direction of Moving of Funds, Push or Pull
Subaccounts are configurable and support an account holder transferring funds in either direction:
- Pull: Deposit to Subaccount. Account holders move funds from their primary account to deposit to their subaccount. This is the only method to put funds into a subaccount. Cash deposits or transfers from other accounts are not allowed.
- Push: Withdrawal from Subaccount. Account holders withdraw funds from their subaccount and move the funds to their primary account.
Time Period to Complete Deposit to, or Withdrawal from Subaccount
The Account holder can move (transfer) available funds instantly:
- From the primary account to deposit to the subaccount
- To the primary account as a withdrawal from the subaccount
Fees to Perform Deposit to, or Withdrawal from Subaccount
Services fees are supported, and are configurable by Netspend.
Account Holder Agreement and Authorization
The terms are inherited from the primary account.