There are countless ways for individuals to be paid for their work. While it may seem like a straightforward process, there are several options at the disposal of both businesses and employees. One of the more interesting ways is the use of payroll cards.
A recent article from the Huffington Post touts the benefits of payroll cards, especially for workers who may be in financial need. While it could seem like every employee has a bank account for direct deposit, that is not always the case, meaning a different system is needed.
"Most workers with established credit and banking services receive their wages via direct deposit, so that their wages are credited to their bank account," the article reads. "For workers without bank accounts, however, this is not an option. For these individuals, payroll cards can play an important role because they provide some of the same benefits and protections that traditional banking relationships offer, while bringing them into the formal financial system."
Employees who do not have a bank account can benefit from the use of payroll cards. First off is the fact that they provide quick, secure and convenient access to their money. While there are some fees that come along with it, these can vary. On top of that, paycard fees are often less than those that are charged for traditional checking accounts and are less expensive than fees charged by check cashing stores.
They also act like a credit card for online or phone payments, which is something users are not able to do if they immediately cash a check.
With the help of a firm that specializes in paycard services, any business can start offering paycards to employees.