Paycards instead of paychecks?

**James** · #1 (**permalink**) 03-21-2007, 08:05 AM

I was reading an article in one of the many magazines that I get, that one of the latest trends is to pay your employees in a paycard.

Basically what you do is deposit funds against the card and they can use it anywhere, including taking money out via ATM without fees or they can use it at the grocery store, gas station, etc.

What they are doing is trying to get companies from getting away from printed checks and the risk of fraud and stolen checks, targeting those who don’t have bank accounts.

Do you think this has a chance to become the new thing in payroll?

demobud · #2 (**permalink**) 03-22-2007, 07:14 AM

I heard about this from an ADP rep a few years ago. I think it is a good idea, because you could put per diem on the card as well. It gives some of the guys without bank accounts more control of their cash. I'm all for it.

NukeWorker · #3 (**permalink**) 03-22-2007, 07:18 AM

It's good for illegal aliens too. With the cards they won't have to utilize check cashing businesses which charge a pretty hefty fee.

**James** · #4 (**permalink**) 03-26-2007, 08:02 AM

Interesting, I thought people might be against it a little. I can see how it would benefit the owners and the company.

I would be curious on how employees would feel about getting them.