Reloadable payroll offer ease, safety to employees

Employees who don’t have a relationship with a financial institution can be dependent on expensive check-cashing companies to get access to their paychecks. Family Trust recently introduced a reloadable card from Visa that provides a safe place to keep money and help the user manage his or her finances.

Loading the card is free to employees who use direct deposit for their payroll, government or other checks. The card can be used anywhere a Visa debit card is accepted and can be used as a debit or signature-based transaction. It allows the user to get cash back from a merchant or from an ATM.This program also enables companies to eliminate writing manual payroll checks thus reducing administrative costs.

In addition, the user can pay bills and view transactions online and to shop by phone. There’s no application or credit check and they only spend what they load so there’s no worry about overdrawing.

Click here to learn about the various fees, which may may be waived with direct deposit. To sign up for a reloadable card, your employee will need a Social Security number and a government-issued photo identification

Here are some tips you can share with employees using the card:

  • Sign your card before using it and file the card number in a safe place.
  • Hold onto receipts and check your balance frequently.
  • Memorize the PIN and don’t share it with others.
  • Signature-based transactions are free and provide fraud protection. Enter “credit” after swiping the card and sign the receipt.
  • When there’s not enough on the cover to cover the purchase, the purchase can be processed as “split tender” with the balance paid with cash.
  • A 20 percent “hold” may be added during authorization of transactions at restaurants, car rental agencies and hotels.