What is a paycard?

Author: Alice Gilman

A paycard is an electronic pay alternative to direct deposit. Paycards are special, reloadable prepaid debit cards onto which an employer can deposit an employee's net pay. Paycards are often pitched to an employee who does not have a traditional bank account. Paycards are more secure than cash and do not require the employee to pay check-cashing fees to a third party.