3 questions to ask about payroll cards

Debit Cards » Best Prepaid Debit Cards » 3 Questions To Ask About Payroll Cards

Do I understand the card costs and potential uses?
Do I understand the card costs and potential uses? © NAS CRETIVES/

Federal rules require that workers be given disclosure of all cost from payroll card usage. Often, workers receive in-person training as well as literature on card use.

"I believe that virtually all payroll cards have some method of cashing out the card once per pay period without a fee," Saunders says. Workers can convert the pay on the card to cash at certain banks or ATMs.

Collins advises consumers to look for clear instructions from your employer on which network of ATMs will offer at least one fee-free withdrawal and is more economical to use generally.

As to uses, Dunn says payroll cards can be used to pay bills online and to pay for merchandise at a retail counter. When paying a bill with a card, it "generally" doesn't involve fees, he says.

It's difficult to generalize about costs because each payroll program can be different, Dunn says. That's why a worker should study the card instructions before using it.

As to perks, payroll card issuers often provide convenience checks along with a card. A convenience check is linked to a consumer's card account and can be used to make purchases or take cash advances.


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