What Are the Benefits of Direct Deposit?
Are you still taking paper checks to the credit union to cash on payday? If so, then you are missing out on all of the benefits of direct deposit. Even people who are resistant to direct deposit tend to become full converts after switching to this payment method. Whether you are an employer who is not yet offering direct deposit as an option to employees or an employee who hasn’t yet made the switch, here are some of the benefits on which you could be missing out.
Direct deposit is convenient.
This benefit is the one that convinces most people to make the switch to direct deposit. For employees, what could be more convenient than waking up on payday to find that the money is already in your checking account? For employers, it takes several steps out of the process of doing payroll. There is no need to print and distribute paper checks for every pay cycle. Instead, you authorize the payment amounts, and your employees get their pay, on time and much more efficiently than with traditional pay procedures.
Direct deposit saves money for employers.
In addition to the cost-saving benefits of improved payroll efficiency, distributing salaries by direct deposit saves money for employers in other ways. The cost of printing checks can be significant, and with direct deposit, employers no longer need to invest in the paper, printers, envelopes, and inks associated with a paper payroll. It also eliminates the cost of replacing lost or stolen checks. Often, credit unions offer incentives to employers for using direct deposit that can translate into savings as well.
Direct deposit is safer for employees.
Even with the best of intentions, losing a paycheck or having a paycheck stolen is a real possibility. For employees, direct deposit means protecting a paper paycheck—and the personal financial information on it—is no longer an issue. Your pay goes safely and securely into your account each pay cycle.
GCS Credit Union is committed to making financial management convenient and secure for our members through direct deposit, online banking, and mobile banking in O’Fallon. Get the answers to all of your questions about our services by calling 618-797-7993.