CPSZ is a wonderful stock that's growing a real business all over the country. Just what is CPSZ?
CPSZ is CPSZ?
The prepaid card is about to tackle one of the more challenging issues for prison re-entry. Continental Prison Systems (CPSZ:PK) , a $4.6 million start up in California, offers a banking system for inmates. They call it the E-Z Card & Kiosk. The company installs kiosks inside state prisons and then issue debit cards to inmates. They refer to the system as the "cashless jail."
Prisons and their prisoners face some unique challenges. It costs a lot of money for prisons to write checks. According to CPSZ, it can cost as much as $17 per check. Hard to believe, but then again, who's counting? It is easier to see why a debit card would help prisoners. Even though prisoners can live without cash, many do earn wages while in prison. There are generally two tiers of employment. Some prisoners work for the state. In those cases, they might earn one to three dollars per day. Prisoners in work release are generally able to earn wages at the same level as any other worker. There is a caveat, though. Many prisons choose to charge rent and board for people that can get a work-release job. They are also likely to have to pay for private transport. At one prison in North Carolina, prisoners pay about $15 each way every day.
Working prisoners often want to send money to their families. The prison writes checks for them at other times - when they are released, or when they are transferring money from a prisoner's account to a child support recipient.