Products May 22, 2003

New Product Allows Paychecks to Go Onto Visa Card

May 22, 2003 (PLANSPONSOR.com) - Paychecks may become a thing of the past, with the introduction of stored value Visa cards automatically loaded with an employee's salary.
Reported by

Union Planters Bank is offering the UPPayCard that allows an employer to deposit an employee’s pay directly onto a VISA card issued in the name of the employee. The UPPayCard is designed to offer businesses a competitive tool to help recruit and retain employees, giving employees the flexibility to choose the best method to receive and use their pay, according to a news release.

The card is could be particularly well suited for employees who may not have traditional banking relationships, such as personal checking or savings accounts, the announcement said.   This group represents 12 to 15 million households, or 13% of the US population, and spends approximately $8 billion a year in check cashing and other financial service fees, according to AmericanBanker.com.

VISA and Union Planters Bank will provide participating employers with an information kit, which can be customized for their needs to help educate employees about the product. The UPPayCard program is completely voluntary for the employee.

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