Pay Day Just Switched Its Day
Direct deposit could soon be hitting some JPMorgan Chase customers’ accounts two days earlier than their regular pay day. A new feature they’re rolling out aims to reduce over drafted checking accounts. In addition to paycheck deposits, it can also be applied to tax refunds, pensions, and government benefits. Such a move is a nod to perks already being offered by fintechs such as Chime and banks as well.
The feature will be available for Chase Secure Banking customers starting this week. There is no minimum deposit to get started and there is a monthly service fee of $4.95.
The transition away from overdraft fees is becoming more common. Last year, Capital One announced it was completely removing overdraft fees and non-sufficient fund fees, for example. Following that trend banks such as Discover, Ally, Axos, Betterment, Wealthfront and Alliant have also introduced no-overdraft account options.
Some “pro-overdraft bankers” believe that fees encourage responsible behavior while opponents have criticized a service that charges money to people for not having enough money.Last modified: October 20, 2022
Anaya Vance is a reporter for deBanked. Connect with me on LinkedIn.