Are all paycards the same?
Author: Alice Gilman
No. There are two basic types of paycards:
- Swipe cards, which are usually branded (e.g., MasterCard or Visa) and allow the employee to swipe at point-of-sale terminals for purchases; and
- PIN cards, which are usually unbranded cards, and require the employee to enter a PIN each time he or she uses it.
An employer may use both types of paycards. For example, a new employee may be provided with an unbranded card until a branded one is available in his or her name.