JP Morgan Chase leaves the EBT business - KMOV.com

JP Morgan Chase leaves the EBT business

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ST. LOUIS, Mo. (KMOV.com) -

A new study revealed 14 percent of Missouri residents and 16 percent of Illinois residents are on food stamps, the highest rate in the Midwest, but the agency in charge of food stamps could be left in the lurch as JP Morgan Chase leaves the marketplace.

JP Morgan Chase and other companies run the program and collect the fees charged when EBT recipients use their Supplemental Nutrition Assistance Program (SNAP) or Temporary Cash Assistance (TANF) cards.

Companies like JP Morgan Chase are getting out of the business following media coverage of how banks are financially benefiting from poverty.

Some state lawmakers are calling for companies to eliminate EBT fees, or to warn users about the fees.

Missouri uses a company called eFunds instead of JP Morgan Chase and the company has received nearly $72 million from the state since 2003.

With JP Morgan Chase leaving the EBT business, federal officials have expressed worries that a lack of competition between the remaining card companies in the mix with lead to more expensive contracts.

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