Earned wage access company DailyPay is rebranding its prepaid Visa card.
The card, previously known as the “Friday by DailyPay Visa Prepaid Card,” will now be known as the “DailyPay Visa Prepaid Card,” and come with added capabilities to the company’s suite of money movement services.
The card “will remain a general purpose reloadable (GPR) card with an app that allows users to transfer a portion of their earned wages” to it in real time, “with no fee if the user has updated their direct deposit to the card,” Daily Pay said in a Monday (Sept. 9) news release.
“The additional features to the new and improved DailyPay Visa Prepaid Card speak to our ongoing commitment to creating meaningful and relevant products to help users on their path to financial security,” said Jack Rubin, DailyPay senior vice president of consumer financial solutions.
The card offers another option on top of DailyPay’s ability to disburse funds in real time to the user’s bank account via debit card. In addition, the card and DailyPay’s earned wage access (EWA) features can be managed from the same app, letting users track earning and spending in one place, the company added.
Later this fall, the company will begin featuring card-linked offers that let users browse an in-app marketplace of merchant-funded discounts and earn cash back on eligible purchases.
The rebrand comes as workers are grappling with an increased financial pressure, lending new urgency to their desire for on-demand pay.
The PYMNTS Intelligence report, “No-Wait Wages: Leveraging Instant Payments to Boost Employee Satisfaction,” created in collaboration with The Clearing House, found that 83% of workers want more frequent pay schedules, a substantial shift from the traditional biweekly or semimonthly pay periods.
“The push for instant payroll is driven by inflation and a 24% increase in average spending per person, which has strained many workers’ budgets,” PYMNTS wrote recently. “This financial burden often pushes workers toward high-interest payday loans, worsening their debt. Instant payroll addresses this by giving employees timely access to their earnings, helping them manage expenses and avoid costly loans.”
According to the report, workers don’t mind paying for real-time payroll, but employers looking to create a healthy working environment should provide this benefit for free, PYMNTS argued.
As demand for real-time payroll climbs, many companies are adopting these solutions, but some workers are already using expensive third-party services with annual interest rates of as much as 330%.