Mastercard and Lyft Unveil New Rewards Debit Card for Drivers
Lyft and Mastercard have partnered to create a rewards debit card for drivers. The debit card, known as Lyft Direct Debit, ties to a no-fee bank account, and provides drivers with instant access to their earnings.
Lyft first revealed plans for a rewards debit card in March. The company aimed to increase driver pay without increasing ride fares. Providing a cash back program was the best way to achieve that goal.
Lyft Direct Debit offers 4% cash back at select restaurants, as well as 2-3% cash back on fuel (varies by location) and 1% cash back on groceries. Cardholders will qualify for discounts at select service centers, such as Jiffy Lube, Pep Boys and Tire Kingdom.
Lyft Direct offers an automatic savings feature, where drivers can arrange for money to be put aside from their earnings. This savings can be used for emergency funds, car repairs, personal spending, or anything else.
The Direct Debit card is backed by Mastercard ID Theft Protection, and comes with 24-hour identity theft resolution. Cardholders will have access to 20,000 no-fee ATMs. Payments will process to the card as soon as a ride is completed. Drivers simply need to select Lyft Direct Debit as their default payment system.
The card will initially launch in Los Angeles, San Diego, Houston, Atlanta, Denver, Las Vegas, Tampa and Washington D.C. There is a corresponding app for the card that showcases recent transactions, the account balance, the rewards balance, and the ‘goal’ balance for savings.