Banking

18 bank accounts that will process your paycheck up to 2 days faster with early direct deposit

early direct deposit



Wild spirit shoot/Getty Images


Personal Finance Insider writes about products, strategies, and tips to help you make smart decisions with your money. We may receive a small commission from our partners, like American Express, but our reporting and recommendations are always independent and objective.

  • You could get your paycheck into your account up to two days early with several banks.
  • Other institutions make money by holding onto your paycheck longer to earn interest on the funds.
  • Early direct deposits give you quicker access to your money and may let you earn interest sooner.
  • See Insider’s picks for the best checking accounts »

Direct deposit is the fastest way to get your paycheck into your checking account. Several banks make this process even faster by implementing early direct deposit features.

Early direct deposit can effectively get your paycheck into your checking account up to two days early. Below, find 18 accounts that offer this service, and an explanation of how they can do it and why it can be smart to take advantage.

18 bank accounts with early direct deposits

1. Albert Cash

Annual Percentage Yield (APY)

None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • No overdraft fees
    • Up to 20% cash back
    • Receive paychecks up to 2 days early
    Cons
    • $2.50 out-of-network ATM fee
    • No option to overdraw funds
    • No way to deposit cash
    • No joint accounts
    • 55,000 free ATMs, with an ATM locator in the app
    • Deposit cash via direct deposit, mobile check deposit, or transfers from other bank accounts
    • Activate cash-back rewards with one merchant at a time, within your mobile app
    • FDIC insured through partner institution, Sutton Bank

    2. Ando Spending

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • No overdraft fees
    • Receive direct deposits up to 2 days early
    • Coming soon: remote cash checking
    Cons
    • No option to overdraw
    • No joint accounts or secondary debit cards
    • $2.95 out-of-network ATM fee
    • GreenDot will charge a fee when you deposit cash
    • Ando only invests in products that cut down on carbon emissions and cancel out greenhouse gases
    • In the Impact Center, track how your deposits and the deposits of people you refer are being invested
    • 38,000+ free ATMs in the US in the MoneyPass network
    • Debit card is made with 80% less plastic than most cards
    • Deposits are FDIC insured through partner bank, Community Federal Savings Bank


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    3. Andrews FCU Free Checking

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • $5 minimum opening deposit
    • No monthly service fees
    • Receive your paycheck up to 1 day early
    • Overdraft protection by linking to savings or using an overdraft line of credit
    Cons
    • $1 out-of-network ATM fee
    • $32 overdraft fee
    • Black-owned credit union with branches in DC, MD, NJ, VA, and WA; branches in Belgium, Germany, and the Netherlands
    • 5,000 shared branches in the CO-OP Shared Branch network
    • 30,000 free ATMs in the US in the CO-OP Shared ATM network
    • Join Andrews FCU by being an employee/member by one of the credit union’s Employer Groups; live, work, study, or worship in DC; are a member of the American Consumer Council; are an immediate family or household member of an Andrews FCU member; are an active military member or veteran, or a family member of someone who served at Joint Base Andrews or Joint Base McGuire-Dix-Lakehurst; are a civilian personnel of Joint Base Andrews or Joint Base McGuire-Dix-Lakehurst, or a family member; are a qualifying military member or civilian personnel of the Department of Defense, or a family member; otherwise qualify based on military affiliation
    • You must open a Base Share Savings Account to become an Andrews FCU member
    • Federally insured by the NCUA


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    4. Axos Bank Essential Checking

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No monthly service fees
    • Receive your paycheck up to 2 days early
    • Unlimited out-of-network ATM fee reimbursements
    • Multiple overdraft protection options
    Cons
    • No physical branch locations
    • Deposit cash through Green Dot, which may charge fees
    • Online-only account
    • If you don’t enroll in overdraft protection, purchases that would overdraw your account will be denied
    • FDIC insured


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    5. Capital One 360 Checking

    Annual Percentage Yield (APY)

    0.10% APY

  • Pros & Cons
  • Details

  • Pros
    • 0.10% APY on all account balances
    • No opening deposit or minimum account balance
    • No monthly service fee
    • No foreign transaction fee
    • Range of overdraft protection options
    • Processes direct deposits up to 2 days early
    Cons
    • Doesn’t reimburse out-of-network ATM fees
    • Limited access to customer service by phone
    • New Capital One 360 Checking customers who open a new account from 6/16/2021 to 8/17/2021 using promo code BONUS150 and complete two direct deposits each worth $250 or more within 75 days of account opening, will receive $150
    • Over 70,000 free ATMs nationwide
    • Over 470 branches in 8 states and DC
    • Interest compounded daily, paid monthly
    • FDIC insured


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    6. Cheese Account

    Annual Percentage Yield (APY)

    0.30% to 3% APY

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • Earn interest
    • Earn higher interest for 30 days when you refer a friend
    • Earn cash back
    • Receive your paycheck up to 2 days early
    • No overdraft fees
    • No out-of-network ATM fees
    • Bilingual customer support (English and Mandarin)
    Cons
    • No option to overdraw funds
    • Doesn’t reimburse fees charged by out-of-network ATM providers
    • Interest compounded monthly, not daily
    • Over 30,000 free ATMs in the MoneyPass network
    • Digital checking account meant for immigrants and Asian American customers
    • Earn 0.25% cash back on all purchases and up to 10% cash back at over 10,000 retailers
    • Choose to donate your $5 sign-up bonus and cash back to the following nonprofits that support Asian Americans: Asian Pacific Fund, Welcome to Chinatown, AAPI Women Lead, and Southwestern Chinese Students and Scholars Association
    • Earn 3% APY on balances up to $10,000 for 30 days if you refer a friend
    • Interest compounded monthly
    • FDIC insured by partner bank, Coastal Community Bank


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    7. Chime Spending Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • Receive your paycheck up to 2 days early
    • Rounds debit card purchases up to the nearest dollar and puts spare change in your Chime Savings Account
    • No overdraft fees for overdrafts up to $200 with SpotMe, if you qualify
    • No foreign transaction fees
    • Request checks be sent to recipients online
    Cons
    • $2.50 out-of-network ATM fee
    • No overdraft protection for overdrafts exceeding $100
    • Deposit cash at Green Dot locations, which may charge fees
    • No physical checkbook
    • Limited to $200/day or $1,000/month transfers from external bank accounts, if initiated through Chime
    • 38,000+ free ATMs nationwide through MoneyPass® and Visa® Plus Alliance
    • Rounds debit card purchases up to the nearest dollar and moves spare change into your Chime Savings Account
    • Qualify for SpotMe overdraft protection by receiving $500 in direct deposits per month
    • Chime is a financial technology company, not a bank. Banking services provided by, and debit card issued by, The Bancorp Bank or Stride Bank, N.A.; Members FDIC.


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    8. Credit Karma Money Spend

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • No overdraft fees
    • No out-of-network ATM fees
    • Receive your paycheck up to 2 days early
    • Instant Karma gives you the chance to receive a purchase reimbursement
    Cons
    • No physical locations
    • No joint accounts
    • Doesn’t reimburse fees charged by out-of-network ATM providers
    • No way to deposit cash
    • No option to overdraw
    • Florida and New York residents are not eligible for Instant Karma benefits
    • 55,000 free ATMs in the Allpoint network
    • With Instant Karma, Credit Karma randomly chooses debit card purchases to reimburse
    • Partner bank is MVB Bank
    • FDIC insured for up to $5 million

    9. Current Premium Personal Checking Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • Get your paycheck up to 2 days early
    • No overdraft fees when you overdraw by up to $100 with Overdrive™
    • Gas station holds immediately credited to your account
    • Earn points when you swipe your card at participating merchants
    Cons
    • $4.99 monthly service fee
    • No way to waive monthly service fee
    • $2.50 out-of-network ATM fee
    • No overdraft protection for purchases of more than $100
    • No way to deposit cash
    • Access to over 55,000 Allpoint ATMs in the US, Puerto Rico, Mexico, Canada, UK, and Australia
    • Qualify for Overdrive™ by receiving at least $500 in direct deposits per month
    • Funds are FDIC insured by Choice Financial Group

    10. GoBank Checking Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • Get your paycheck up to 2 days early
    • Get your government benefits up to 4 days early
    • Mobile check deposit
    • Online and paper checks available
    • No overdraft fees
    Cons
    • Opening deposit must be between $20 and $500
    • $8.95 monthly service fee
    • $4.95 fee for depositing cash at a participating retailer
    • $3 out-of-network ATM fee
    • Over 42,000 free ATMs nationwide
    • Waive $8.95 monthly service fee by receiving $500/month as a paycheck or government benefits
    • Cash deposits aren’t available in Vermont
    • FDIC insured


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    11. GTE Financial Full Access Checking Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • Get your paycheck up to 1 day early
    • Free overdraft protection if you have another GTE Financial account
    Cons
    • Early direct deposits are $3 per paycheck
    • $4.95 monthly service fee
    • Credit union, so membership required; several ways to become a member, including joining CU Savers with a one-time $10 fee
    • 23 locations around Tampa, but membership available nationwide
    • Free access to 30,000 ATMs
    • Waive the $4.95 monthly service fee by enrolling in eStatements AND making $500 in deposits per month, OR making 15 debit card or credit card transactions per month
    • Federally insured by the NCUA

    This credit union has four checking accounts, including one for students. GTE Financial Full Access Checking is its most basic checking account, but all four offer early direct deposit.

    12. Navy Federal Free Active Duty Checking

    Annual Percentage Yield (APY)

    0.05% APY

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • Refunds up to $20 per month in out-of-network ATM fees
    • Receive direct deposits one day before payday
    • No monthly service fee if you set up military direct deposits
    • Free personalized checks
    • 3 overdraft protection options: savings transfer, line of credit, or optional overdraft protection service
    Cons
    • Interest compounded monthly, not daily
    • Free Active Duty Checking is only for active military, retired military, or reservists
    • Available to active military, retired military, or reservists
    • Join Navy Federal Credit Union as an active military member, military veteran, Department of Defense employee/retiree, or family member of any of the aforementioned groups
    • 247 branches worldwide, including on select military bases
    • 30,000 free ATMs
    • Interest compounded monthly, paid monthly
    • Federally insured by the NCUA


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    13. One account

    Annual Percentage Yield (APY)

    1% on your Save Pocket; 3% on your Auto-Save Pocket

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • Earn a high APY on your savings pocket and automatic savings pocket
    • Use your debit card as overdraft protection
    • No fee for using an out-of-network ATM
    • Receive paychecks sooner with early direct deposits
    Cons
    • Only earn interest on up to a certain balance
    • Doesn’t reimburse any fees charged by out-of-network ATM providers
    • You’ll pay interest on overdraft line of credit if you don’t repay the cash in a month
    • Free access to 55,000 Allpoint ATMs in the US
    • The One Account acts as a hybrid checking/savings account
    • Set up a Savings Pocket and earn 1% APY on balances up to $5,000
    • Round up debit card purchases to the nearest dollar, and the money goes into Auto-Save Pocket; earn 3% APY on your Auto-Save Pocket
    • If you overdraft your account, the debit card acts as a line of credit
    • Earn more rewards by setting up direct deposits: Earn interest on your Save Pocket balance up to $25,000; increase your line of credit; put 10% (up to $1,000 per month) of paychecks into Auto-Save where it earns 3% APY
    • Deposits are FDIC insured through Coastal Community Bank


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    14. OneUnited Bank BankBlack Checking Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • Receive your paycheck up to 2 days early
    • Doesn’t charge a fee at out-of-network ATMs, although the ATM provider may
    • Overdraft protection available if you have another OneUnited account
    Cons
    • $50 minimum opening deposit
    • $10 monthly service fee
    • $15 fee each time you transfer funds for overdraft protection
    • Largest Black-owned bank in USA
    • Branches in CA, FL, and MA; online accounts available nationwide
    • Over 30,000 free ATMs nationwide
    • Waive $10 monthly service fee by maintaining a $500 balance, OR receiving 1 direct deposit per month AND making 10 debit card transactions per month
    • FDIC insured


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    15. Porte Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No monthly service fees
    • No minimum opening deposit
    • Mobile check deposit
    • Receive paychecks up to 2 days sooner with early direct deposit
    • Contactless payment option
    • Earn cash back at select retailers
    • Debt management tools
    • Choose a charity, and Porte will donate money
    • Turn overdraft features on and off
    Cons
    • No physical branches
    • $2.50 out-of-network ATM fee
    • $20 overdraft fee
    • Free access to 32,000 MoneyPass ATMs
    • True Debt Calculator helps you understand and manage your debt
    • Choose a charity (Humane Society, Save the Children, or GLAAD), and Porte will donate to it by matching a percentage of your purchases
    • Earn cash back at select retailers
    • Contactless pay through Apple Pay, Google Pay, and Tap to Pay
    • Turn overdrafts on and off — when on, you’ll pay a fee if you overdraft; when off, a purchase that would overdraw will be denied
    • FDIC insured through MetaBank


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    16. Radius Rewards Checking Account

    Annual Percentage Yield (APY)

    0.10% to 0.15% APY

  • Pros & Cons
  • Details

  • Pros
    • Earn 1% – 1.5% cash back
    • Earn cash back on an unlimited amount of purchases
    • Earn interest on your checking balance
    • No monthly service fee
    • Receive your paycheck 2 days early
    • Reimburses out-of-network ATM fees
    • Overdraft protection available if you have another Radius account
    Cons
    • $100 opening deposit
    • Minimum balance of $2,500 to earn APY
    • $25 overdraft fee
    • $5 daily overdraft fee after the 5th consecutive day of a negative balance
    • Interest compounds monthly, not daily
    • Earn 1% cash back on all purchases, and 1.5% cash back on certain purchases in the health, food, entertainment, and social good categories
    • Select “credit” when you swipe your debit card to earn cash back
    • Earn 0.10% APY on balances of $2,500 to $99,999, and 0.15% APY on balances of $100,000 and up
    • Interest compounded monthly, paid monthly
    • FDIC insured


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    17. Varo Checking Account

    Annual Percentage Yield (APY)

    None

  • Pros & Cons
  • Details

  • Pros
    • No minimum opening deposit
    • No monthly service fees
    • No foreign transaction fees
    • Get your paycheck up to 2 days early
    • No overdraft fees on overdrafts up to $50, if you qualify for No Fee Overdraft
    • Earn cash-back rewards
    Cons
    • No physical branch locations
    • No overdraft protection if you overdraw by more than $50
    • $2.50 out-of-network ATM fee
    • No joint accounts
    • Access to 55,000+ Allpoint ATMs in the US, Puerto Rico, Mexico, Canada, UK, and Australia
    • Earn up to 15% cash back at select retailers; see current cash back offers in the Varo app
    • When you receive $5 in cash back, the money is automatically deposited into your account
    • Qualify for No Fee Overdraft by swiping your debit card 5 times per month, AND receiving at least $1,000 in direct deposits per month
    • If you overdraw by more than $50, there will be no fee — your transaction will just be denied
    • FDIC insured


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    18. Wealthfront Cash Account

    Annual Percentage Yield (APY)

    0.10% APY

  • Pros & Cons
  • Details

  • Pros
    • Use as both a savings and checking account
    • $1 opening deposit
    • No monthly service fees
    • FDIC insured for $1 million
    • Get paid 2 days early
    • Access to a debit card
    • Mobile check deposit
    • Automatically move extra money into investments with Autopilot
    • Save for separate goals in one account
    Cons
    • No physical branch locations
    • To deposit cash, pay a fee at a Green Dot location
    • $2.50 out-of-network ATM fee
    • FDIC insured for $1 million
    • 19,000 free ATMs
    • Autopilot feature lets you set maximum account balance, and automatically transfers money into investments if you exceed maximum balance by more than $100
    • Interest compounded daily, paid monthly


    Read Our Review
    Read Our ReviewA looong arrow, pointing right

    How banks process your paycheck early

    How is possible for banks to get your paycheck into your account early?

    “From a technical standpoint, any bank is capable of getting you your paycheck up to two days early … but they choose not to because they make money holding your paycheck hostage for a day or two,” Kate Wauck, Vice President of Communications for Wealthfront, told Business Insider.

    “It’s referred to as ‘float’ which is basically banks double-counting deposits for a short period of time before they clear the transaction so they can earn interest on both of the amounts,” she continued. “A bank credits a customer’s account as soon as a check is deposited. Until the check clears the account it’s drawn on, the amount it’s written for ‘exists’ in two different places, appearing in the accounts of both the recipient’s and payer’s banks. So a bank will earn interest on the amount twice. So as you can see there isn’t huge incentive for banks to speed up the process because of float and their ability to double interest payments.”

    Some banks choose not to hold onto your direct deposits, though, which can provide incentive for you to bank with the institution.

    Benefits of early direct deposits

    Early direct deposits have two main perks:

    • Faster access to your money. This perk especially useful if you’re living paycheck to paycheck or have a big bill coming up. At the very least, having your money sooner is convenient.
    • Start earning interest sooner. Some banks pay interest on their checking accounts, or you can transfer money from checking to a savings account that earns interest. Thanks to compound interest, every day your money accumulates interest helps you earn more. 
    Most Related Links :
    Business News Governmental News Finance News

    Need Your Help Today. Your $1 can change life.

    [charitable_donation_form campaign_id=57167]

    Source link

    Back to top button