How to Transfer Money from Payroll Card to Bank Account

Want to transfer money from Payroll Card to Bank Account? then stay glued to this article as I will show how to do so in a few steps.
Ketcha Brandon
Transfer Money from Payroll Card to Bank Account

The rate of usage keeps on increasing bit by bit among small businesses as these cards allow their employees to get paid without having to present yourself physical at a traditional bank.

As soon as your funds reflect in your card, you might desire to use them more flexibly which is one of the reasons why transferring money from Payroll Card to Bank is one of the online transfer methods that you need to know.

Several individuals have been asking themselves if there is a possibility to transfer money from Payroll Card to bank account? from a direct point of view, you cannot carry out this transaction since Payroll Card cannot be integrated with banks since they work similarly to prepaid cards allowing you to withdraw Cash and make purchases.

The difference between a Prepaid card and a Payroll Card stands at the point that with a Prepaid Card you are able to transfer money to a bank account easily while Payroll Cards does not offer a direct procedure to complete such a transaction.

Incase you want to transfer money from Payroll Card to Bank account, do not worry cause there are several indirect ways which you can use to make a successful transfer.

Want to transfer money from Payroll Card to Bank Account? then stay glued to this article as I will show how to do so in a few steps.

Table of Contents

What is a Payroll Card?

A payroll card is a prepaid card that an employer may load with their employees salary and wages without having to open a bank account. It is obvious that they work similarly to debit cards letting employees to have access to their paychecks and withdrawing cash or making purchases.

In case you an employee that does not yet have a bank account or you have a small firm, then Payroll is one of the best options for you to use for your payments. Credit cards are increasingly being used in place of other payment methods. According to a report by the Mercator Advisory Group, payroll card loads were $40.3 billion in 2017, but by 2022, that amount is predicted to increase to $50.9 billion.

With respect to the Payroll card service that you select, offering a payroll card may be cost effective for you as an employer. Also some payroll agencies may charge extra fee for service such as direct deposit.

How Does Payroll Card Work?

With respect to the Payroll card service that you select, offering a payroll card may be cost effective for you as an employer. Also some payroll agencies may charge extra fee for service such as direct deposit.

Payroll cards are different from regular debit cards, therefore it's important for employees to comprehend the numerous costs connected with them.

You'll have to pay monthly maintenance fees, ATM withdrawal fees, balance enquiry fees, fund transfer fees, and account closure fees even though it's a terrific alternative for workers without bank accounts. Depending on the business you work with, you will pay different costs.

Advantages of a Payroll Card

Payroll cards offer several advantages to its users and some of these are listed below:

  • Payroll cards are a more cost-effective and easy option for employers to pay employees.
  • It's a simple way for employees to get their paychecks without needing to have a bank account.
  • A payroll card can be readily replaced if it is lost or stolen (for a fee)
  • Because the card is a debit card rather than a credit card, there is no risk of debt or financial liability.
  • It's a practical choice. There's no need to visit a bank to cash a check or verify if your deposit has been received. You can get to your money quickly and easily.
  • If you don't have a bank account, it makes it simple to receive a payment.

Set Backs of a Payroll Card

  • If payroll card users use their cards to access an ATM or make a purchase, they can be assessed fees.
  • They lack features like low interest rates that a bank account has.
  • Payroll card users are charged every time they do anything, even checking their account amount.
  • Pay cards can be lost or stolen, unlike direct deposits.
  • Depending on your industry, it might or might not be a good payment option.
  • With a payroll card, you can't earn cashback like you do with a rewards credit card.
  • Payroll cards fall within the category of debit cards, which offer fewer consumer safeguards than credit cards that are not subject to fraud liability.

Well you have above the pros and cons of making use of Payroll card, so it is left over to you if is suitable for you to make use of it.

Payroll Card Providers

Payroll cards are a type of reward offered by some payroll providers and for small firms, there exist numerous payroll card providers to choose from.

Discuss the effects of using payroll cards with your representative if you work with a large payroll provider.

The American Payroll Association lists a few payroll card providers to take into account:

1. Money Network

This Payroll Card provider offers cards as well as easy-to-use internet platform for managing your payroll card operation.

The organization offers a range of deposit options, enhanced security, limited liability, and zero-liability protection. Employees are protected by its zero-liability protection in the event that their payroll card is lost or stolen.

Prepaid debit processing provider Money Network has over 20 years of experience, and all funds are FDIC-insured.

Features of Money Network:

  • Zero liability protection.
  • Mobile application to track deposits and statements.
  • FDIC insured.
  • Zero activation fees.
  • Strict and regulated security to avoid fraud.

2. U.S Bank

U.S. Bank is one of the few big banks that supports the endeavor by offering payroll cards to small businesses.

Focus is the name of the business' payroll card program, which offers online shopping, fraud prevention, and entirely electronic payments.

There are also mobile apps, cash-back reward programs, text and email notifications, savings account features, and text and email alerts accessible. You shouldn't be anxious because U.S. Bank is a significant player in the financial industry.

Features

  • Cash Back Rewards and offers savings account.
  • FOCUS: Payroll card initiative.
  • Cash reload networks.
  • Text and Email alerts.
  • User-friendly mobile application.

3. Netspend

Another name for Netspend is Skylight ONE which is well-known for meeting all of the needs of its customers. It provides cardholders with a variety of discounts, assists employees in managing their finances, and allows them to receive their salary in a few of days.

Features

  • You can open an account with $0 balance.
  • Zero activation fee and flexible enrollment.
  • Online portal to view the complete track of transactions and deposits.
  • Agile customer support.
  • Netspend scholarship programs.

4. Wisely

One of the biggest payroll processing and HR management companies in the nation, ADP, supports the payroll card company Wisely.

The business offers rewards at retailers in addition to fee-free cash withdrawals from ATMs and banks. Given that the never-ending costs associated with payroll cards are one of its greatest downsides, this capability is exceptional.

Additionally, Wisely provides consumers with money management apps. It also offers a variety of finance sources that you can connect to side jobs.

Features

  • Multiple cards upgrade is available.
  • Their products include Wisely Direct card and Wisely Pay card.
  • Get paid two days early.
  • No activation fee is required.
  • Mobile application. 

5. FlexWage

FlexWage is yet another popular payroll card provider that makes it easy for employees to get their salary and commissions. FlexWage has consistently ranked at the top of a ranking table for providing the finest financial wellbeing to its consumers.

Features

  • There are no charges for activation.
  • The mobile application is flawless.
  • Offer a policy of no liability.
  • Money is available at all times.
  • customer service.

6. Rapid Pay Card

Rapid! The payroll solution from PayCard provides a variety of functions. The company's 100% e-payroll solution for clients is one of its most notable features.

There are numerous distribution options available to your employees, including e-wallet payouts, digital checks, and various payroll cards.

Furthermore, it offers a wide range of other beneficial services to businesses, like free electronic payroll delivery and quick payment.

Features

  • There are no charges for activation.
  • Payouts via e-wallets are feasible.
  • electronic checks
  • Cashback incentives can be very helpful.
  • liability defense to protect users from illegal transfer.

Can I Transfer Money from Payroll Card to Bank Account?

From a direct point of view, you cannot carry out this transaction since Payroll Card cannot be integrated with banks since they work similarly to prepaid cards allowing you to withdraw Cash and make purchases.

How to Transfer Money from Payroll Card to Bank Account

The ease of moving funds from your payroll card to a bank account will depend on your payroll card provider.

The process of transferring money from your payroll card to a bank account is unfortunately not well documented.

While some businesses offer it as part of their services, others ask you to speak with your bank or payroll card provider.

On the other hand, payroll cards are the best option for employees without bank accounts. Direct deposits are advantageous for workers with bank accounts.

If your employer gives you a payroll card, you must also have access to other payment methods like direct deposit or paper checks.

Employers are required by various government rules to provide a variety of payment methods.

In general, it's better to speak with your bank officer or employer if you wish to transfer money from your payroll card to your bank account. It's worth noting that you might need to pay a fee to complete the transaction.

Well though it is not possible to transfer Money from Payroll Card to Bank account directly, you can make use of some indirect methods that will allow you to make a successful transfer:

1. Buy and Sell Gift Cards

One of the best ways via which you can transfer money from Payroll card to bank account is by buying gift cards with the card and then selling the gift card for cash instantly, then requesting to get paid through a bank transfer. Or better still, once you buy a gift card, you can decide to transfer gift card balance balance to bank account.

2. Add Your Payroll Card to PayPal

One excellent approach to disburse cash for your PayPal transactions and save the cash you were going to use for the transaction is by adding your Payroll card to PayPal.

Payroll cards resemble debit cards more than anything else, and PayPal enables you to add a debit card to your account so that you may start sending and receiving money.

Additionally, you can transfer your PayPal balance in return for cash using the money on your Payroll card. The money can then be deposited into your bank account.

Final Thoughts on How to Transfer Money from Payroll Card to Bank Account

A payroll card is a prepaid card that an employer may load with their employees salary and wages without having to open a bank account. It is obvious that they work similarly to debit cards letting employees to have access to their paychecks and withdrawing cash or making purchases.

In case you an employee that does not yet have a bank account or you have a small firm, then Payroll is one of the best options for you to use for your payments.

Credit cards are increasingly being used in place of other payment methods. According to a report by the Mercator Advisory Group, payroll card loads were $40.3 billion in 2017, but by 2022, that amount is predicted to increase to $50.9 billion.

Payroll cards are a great way to receive payments from your employers. Although it’s not the best option, it’s the most convenient for those without a traditional bank account.

More so, if you have a bank account, and want to transfer your funds into it, then you’d need to contact your bank officer or employer.

Frequently Asked Questions

What are the alternatives to a payroll card?

The alternatives include Direct deposit, ACH transfers, Mobile wallet, Paper checks, and PayPal.

Are payroll account and savings account the same?

Although the two are similar, payroll accounts are different because they are for employees to receive their salaries. Additionally, opening a payroll account does not need that you deposit initial balance.

Can you deposit money in payroll card?

AIt is a subjective facility and varies with every service provider, as some allow you to deposit on a payroll card, and some do not.

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