What Is a Direct Deposit Debit Card?

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A direct deposit debit card allows certain payments, such as payroll checks, child support, Social Security payments and tax returns, to be paid to you electronically and deposited to the card. You are then free to withdraw cash from the card or to use it directly to pay for goods and services.

Prepaid Cards

Direct deposit credit cards are prepaid debit cards that are set up differently than debit cards tied to standard checking and savings accounts. You activate a prepaid credit card by making an initial deposit to the card. That provides the funding for your card until additional deposits are made, including direct deposits.

Convenience

Direct deposit payments to your debit card save you the hassle of cashing checks or having to deposit paper checks into your bank account. In fact, some consumers avoid banks altogether with prepaid cards.

Growing Trend

Many employers are moving completely away from issuing paper checks and are requiring direct deposit. That makes prepaid direct deposit debit cards a good solution for those who need direct deposit but don't want to open an account with a bank or credit union.

Prepaid Debit Cards

There is a competitive market for direct deposit debit cards so shop around. Different cards have different rate structures for fees, such as the initial activation fee, monthly maintenance fee and more.

Easy Approval

No credit check is necessary for a direct deposit debit card.

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