Deciding whether you should have your checks direct deposited may be a challenge if you are unaware of what direct deposit is or the benefits that it offers. In this article, you will learn all about direct deposit to help decide if it is right for you.
What is direct deposit?
Direct deposit is when earned money goes straight into your checking account, savings account, or onto a visa card rather through a paper check. Currently, in today's society, it is the most popular form of payment because of its many advantages and simple transfer.
What are the advantages?
-Fast: Direct deposit limits your trips to the bank making it quick and convenient. You will no longer have to wait in those long lines.
-Prevents holds: With most paper checks when you receive and deposit them, the funds will not be available right away. Unlike direct deposit that is available right when it goes in.
-Eliminates the chances of losing the check: Paper checks can be tough to keep a hold of, especially if you are a contractor who receives multiple checks. With direct deposit, you will no longer have to worry about keeping track of all paper checks.
-Set dates to receive money: Usually your employer will set paydays on certain days of the month. You will know exactly when the money will be available for spending. No worries if you are on vacation or sick for the day, the money will still go into your accounts or on your visa card.
Do I need a bank account for direct deposit?
The answer may be shocking to many, but the answer is no, you do not need a bank account. With companies like Your Exchange, you can have your earned money directly deposited onto a Cashpass Prepaid Visa, which works just like a debit card. To achieve direct deposit on your visa card, you will simply need to have your employer fill out a form. It's that easy. The prepaid visa also offers advantages like a reduced rate and cash back. So, skip the ATM fines and fees and receive your earned money when you are counting on it. Stability has never felt better.