Payroll debit cards

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(bit of a rant, mods please move to politics if that seems more appropriate)

Has anyone dealt with these monstrosities before?

I'm talking about the debit cards (i.e. Money Card) that employers are now handing out, that they put your pay on instead of printing a check or direct deposit.

My daughter got one on her first job. Now my son's girlfriend has one.

The hassle was the same for both. First, they were never given a choice, it was just "here's your pay card". The card charges a fee for ANY withdrawal (ATM or debit use). Even after several requests to set up direct deposit (accompanied with the appropriate info), three months in (in both cases), no change. You can't go to your bank and make a transfer into your account from the card, like you can do with a credit card. You have to call a number to get your balance. No statements, no history.

My daughter finally got on direct deposit and after transferring everything off, we destroyed her card. A year later she got a letter telling her that her account had been upgraded to "Premium", which entitled her to pay the card company an additional $5/month (WTF she never agreed to that) for some very dubious "benefits".

I checked the law on these. It seems that the requirement is that the employer "has to offer at least two forms of payment", that's it.

I can't see at all how this is legal. Signing people up for something that charges fees, not only without their consent, but without even telling them?

I haven't seen it much, but it seems to be the thing in fast food lately.

I'm not big on "there oughta be a law", but it seems to me there's some real shady **** going on with these that should be looked into. Especially the whole signing you up without telling you bs.
 
Who's the card issued through? Do the kids work at the same place?
 
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yes.
i have dealt with them before.
long time ago. never again.
after that one experience,
i made sure about the
pay plan before accepting.
 
Debit cards are a great option for some businesses to handle payroll and folks to get their pay directly and immediately. It's especially handy for international businesses or those who work with employees who are not US citizens(like contract labor, not illegal aliens). My ol' lady works with them for some large clients like cruise ship companies and such. Makes getting everyone payed easy.

Not sure about your situation though... Always potential for shadiness afoot when dealing with big companies and banks....
 
I helped guide my niece through the process of telling her employer that she wanted direct deposit and would require documentation indicating that was not available.

They were not meeting this criteria, so I was successful.

According to North Carolina’s pay laws, an employer may offer employees the option to be paid via paycard if the employee can withdraw all wages on payday and use of the card on payday is at no cost to the employee.
 
Who's the card issued through? Do the kids work at the same place?
A couple years apart, two different employers, two different cards.
According to North Carolina’s pay laws, an employer may offer employees the option to be paid via paycard if the employee can withdraw all wages on payday and use of the card on payday is at no cost to the employee.
The biggest problem I have with this whole thing is that nobody was offered any option. How can an employer sign you up for something without your consent, or without even informing you in advance?

As for withdrawing all the wages on payday at no cost, how do you do that when you can't make a transaction at all with your card at your bank? Pay doesn't come in even increments of $20.

I'm sure it's a great deal for the employers, that's why they're doing it. But the whole thing just seems sketchy to me when it's set up like this.
 
Any details? Card product name? Issuing bank? Field of work or employer?

Curious about the different companies doing this...
 
* If the card is optional (not required by the employer) and the fees are disclosed to the employee, may the Bank impose a monthly fee and a withdrawal fee for each withdrawal after the initial "no cost" withdrawal?
Yes, since the employer is not mandating the use of the debit/payroll card. In this context, the cards are used just as any other ATM/Debit Card and bank fees for transactions do not require an employer to obtain written authorizations from employees.

Maybe that's how they get around it. It's technically optional, but they just keep "losing the paperwork" when you apply for direct deposit. And they don't tell you your options up front, either.
 
Any details? Card product name? Issuing bank? Field of work or employer?

Curious about the different companies doing this...

I think my daughters was literally called "Money Card". I don't know the other, nor do I remember the issuing bank. I only really know my daughter's info - that was a bank in Florida somewhere (how convenient). Fast food in both cases, both employers are large franchise owners. One runs a lot of Wendy's restaurants, the other runs a lot of Hardee's.

These are the only two I know personally, but I've heard about it from other people I know too.
 
With a card, they know exactly how much money you have and exactly what you spend it on.

With cash, they don’t know sh*t...and they don’t need to know sh*t, because it’s none of their f*cking business.

“But...but...we (.gov) need to know so we know who may be funding terrorism.”

Really?

How about looking in the f*cking mirror!:mad:


The “terrorism” excuse is BS....it’s not about fighting terrorists, but about controlling the wealth of each and every citizen.
 
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Sounds like they learned a lesson, all good.

If they didn’t already know that the workers at the bottom get crapped on, now they do. Hopefully they apply themselves to get out of that situation.
 
I think my daughters was literally called "Money Card". I don't know the other, nor do I remember the issuing bank. I only really know my daughter's info - that was a bank in Florida somewhere (how convenient). Fast food in both cases, both employers are large franchise owners. One runs a lot of Wendy's restaurants, the other runs a lot of Hardee's.

These are the only two I know personally, but I've heard about it from other people I know too.


The out of state bank part is BS for sure...
 
I think I’d rather get paid in chicken nuggets
 
Maybe that's how they get around it. It's technically optional, but they just keep "losing the paperwork" when you apply for direct deposit. And they don't tell you your options up front, either.

Likely true. I personally went in and spoke to the owner as her advocate. The color drained from his face when I demanded a copy of the written policy that direct deposit was not an option. I suspected that the shift managers (and some others) were being paid that way, and therefore would be no policy against it. I told him she would accept a traditional paper paycheck during the time it took to process the direct deposit. Paperwork was turned in that evening (she was with me). It also helped that she was in foster care at the time, so my relationship as her advocate was nebulous to them.
 
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File a complaint with the NC Banking Commission? Even if it's technically above board, I think the Commission is required to investigate, which is likely a headache (and maybe a problem for a shady employer).

That said, it may result in negative repercussions at her job, despite "worker protections." Still, might be helpful/worth it.
 
Never opted for it, trucking companies were offering cards ten years ago. Probably no less risk than direct deposits, fees and no statements or account viewing would put me into the ceiling though.
 
Go to a local credit union and open accounts for direct deposit for your paychecks. Avoid these money cards.
 
I think this stems from 2 thing's.

#1 it's easy for the employer to do with a business that has high turnover. It's less paperwork.

#2 you have a lot of people who can't keep their affairs straight to have a bank account.

I wouldn't like this type of payment method for me.
 
I think this stems from 2 thing's.

#1 it's easy for the employer to do with a business that has high turnover. It's less paperwork.

#2 you have a lot of people who can't keep their affairs straight to have a bank account.

I wouldn't like this type of payment method for me.

#2 is really sad considering that HS students (in Durham at least) can open a free checking account as long as they keep $15 in savings. I think it switches to a fee of $1/month when they turn 18.
 
I can only imagine what protections you DON'T have if one of those stupid cards gets compromised like a credit/debit card. Your money is gone with little to no recourse would be my guess.
 
A couple years apart, two different employers, two different cards.

The biggest problem I have with this whole thing is that nobody was offered any option. How can an employer sign you up for something without your consent, or without even informing you in advance?

As for withdrawing all the wages on payday at no cost, how do you do that when you can't make a transaction at all with your card at your bank? Pay doesn't come in even increments of $20.

I'm sure it's a great deal for the employers, that's why they're doing it. But the whole thing just seems sketchy to me when it's set up like this.

If you go into a bank like Well Fargo, BB&T etc.... you can use the debt card to do what they call a "cash advance" from the debit card in any amount you choose. You simply put in your pin number like you would at the outside ATM but they type in the exact amount you want removed. From there you can deposit the money into an actual checking account there or take the cash. If you do it on payday you are not supposed to be charged by the institution conducting the transaction IIRC.
 
Likely true. I personally went in and spoke to the owner as her advocate.

My daughter is high-functioning autistic, so I'm in a similar position, but I'm also trying to teach her how to handle things for herself. I told her to keep fighting. After the third screwup I told her if it wasn't fixed I would take care of it. I have a feeling she told someone that.

File a complaint with the NC Banking Commission? Even if it's technically above board, I think the Commission is required to investigate, which is likely a headache (and maybe a problem for a shady employer).

I've suggested to the GF to go over her manager's head to corporate HR. This is supposedly a Christian company that values caring for its employees (per their website) - we'll see if they live up to their claims.

Go to a local credit union and open accounts for direct deposit for your paychecks. Avoid these money cards.

In both cases, they already had bank accounts. Employer didn't offer direct deposit upon hiring, and didn't set it up when requested.

If you go into a bank like Well Fargo, BB&T etc.... you can use the debt card to do what they call a "cash advance" from the debit card in any amount you choose. You simply put in your pin number like you would at the outside ATM but they type in the exact amount you want removed. From there you can deposit the money into an actual checking account there or take the cash. If you do it on payday you are not supposed to be charged by the institution conducting the transaction IIRC.

First Citizens explicitly stated they could not do a cash advance on the card.

My daughter got it taken care of some time ago, and has now since moved on from that position. Now, before accepting an offer, she confirms that direct deposit will be the pay method.

The GF has limited transportation and lives in a town with only a couple viable employers. But even so, she's pretty close to walking out on them. If going to HR fails, there will definitely be a complaint - @Windini thanks for suggesting Banking Commission, didn't think of including them.
 
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