Early direct deposit is a recent feature that several banks and credit unions are now offering so that their customers have faster access to a paycheck and can also earn interest on their money sooner. Consumers have access to their funds two days sooner, which can be beneficial if your payday falls on a weekend.
Not all banks offer the early direct deposit option. Early direct deposit allows you to receive your paycheck up to two days early, and it’s very easy to set up if you are using the bank that offers this option to you. So, do you want to get paid earlier than your co-worker?
Here are 7 best banks for early direct deposit:
- Chime: Best for overdraft protection
- Acorns Checking: Best for micro-investing integration
- SoFi Bank: Best crypto-friendly bank
- Current: Best for high APY
- Axos Bank: Best for low-fees
- M1 Finance: Best for all-in-one platform
- LendingClub Banking: Best for low minimum deposit for CDs
1. Chime: Best for overdraft fees
Chime is a financial technology company designed to make it easier for you to manage your money and get various benefits for all your financial transactions.
With Chime, you will get a free overdraft fee of up to $200*, get early payments via direct deposit, and get 1.50% APY¹ for your savings.
Chime also has no fees per month and no minimum balance requirement, with top-notch security features that will keep your funds and financial information safe and private.
The alerts system can keep you up to date with your current financial activities, which include balance alerts and transaction alerts.
Features
- Chime allows you to get your paycheck up to 2 days early* if you use the direct deposit transfer option, which you can set up on the Chime mobile app. You will need to provide the Chime account number and routing number to your employer, so you can get the early direct deposit benefit the next time your employer sends your paycheck.
- You can also use Chime to send money to anyone with or without a Chime account, and they can claim the money you have sent to their bank with no extra fees. This makes it easier for you to transfer funds from your Chime account without having to make others create a new Chime account just to get their money.
Pros
- Get paid two days earlier*
- Fee-free Overdraft up to $200 with Chime SpotMe*
- Over 60,000 fee-free in-network ATMs*
- No hidden fees
Cons
- No brick and motar banks, online support only
- Foreign transaction fees aren't covered
*Chime SpotMe is an optional, no fee service that requires a single deposit of $200 or more in qualifying direct deposits to the Chime Checking Account each month. All qualifying members will be allowed to overdraw their account up to $20 on debit card purchases and cash withdrawals initially, but may be later eligible for a higher limit of up to $200 or more based on member’s Chime Account history, direct deposit frequency and amount, spending activity and other risk-based factors. Your limit will be displayed to you within the Chime mobile app. You will receive notice of any changes to your limit. Your limit may change at any time, at Chime’s discretion. Although there are no overdraft fees, there may be out-of-network or third party fees associated with ATM transactions. SpotMe won’t cover non-debit card transactions, including ACH transfers, Pay Anyone transfers, or Chime Checkbook transactions. See Terms and Condition.
^Early access to direct deposit funds depends on the timing of the submission of the payment file from the payer. We generally make these funds available on the day the payment file is received, which may be up to 2 days earlier than the scheduled payment date.
¹The Annual Percentage Yield (“APY”) for the Chime Savings Account is variable and may change at any time. The disclosed APY is effective as of August 25th, 2022. No minimum balance required. Must have $0.01 in savings to earn interest.
^ Out-of-network ATM withdrawal fees may apply except at MoneyPass ATMs in a 7-Eleven, or any Allpoint or Visa Plus Alliance ATM.
2. Acorns Checking: Best for micro-investing integration
Acorns Checking is a checking account provided by Acorns that helps you not only to save your money, but it also helps you manage your money and invest it.
Acorns Checking is part of Acorns Personal account. This is the checking account that takes care of all your financial activities, as it provides a feature-rich digital banking system, which includes direct deposit, along with sending and receiving mobile check deposits.
You can also manage your retirement account with your Acorns Checking account, which can help save your financial future. If you have kids, they also offer Acorns Early, one of the best debit cards for kids.
Features
- With Acorns Checking, you can set up the early payday benefit to receive your paychecks up to two days early with direct deposit. Your paycheck information will get connected to the Federal Reserve, allowing you to receive your paycheck earlier than scheduled. For you to enjoy this feature, your employer needs to send your paycheck via ACH direct deposit.
- Acorns Checking offers the unique debit card you can have, with its green finish and your custom-engraved signature on it, making it stand out from other banking service providers. You can use the debit card from this bank on 55,000 ATMs nationwide and around the world, with no fees for ATM transactions.
- You can also use the Smart Deposit feature from Acorns Checking, which includes automatic money investment and early payday benefit for direct deposit. This way, you can set your own investment schedule and ensure that you can invest your money before you spend it.
Pros
- $75 welcome bonus for new users
- Comes with a heavy metal debit card with matte green finish and signature custom-engraved
- Get your personal checking, investment, and retirement accounts all in one app
Cons
- You'll pay $3 per month
- There are no joint accounts
- There are no physical locations
3. SoFi Checking and Savings: Best crypto-friendly bank
SoFi provides a crypto-friendly bank that allows you to manage all your finances in one place, which includes personal loans, refinancing, investing (stocks & crypto), credit cards, personal banking, and more.
With SoFi, you can open a Checking and Savings Account with 1.25% APY and zero account fees.
You can also get overdraft coverage with no fees for up to $50. For reference, Chime offers overdraft coverage up to $200.
With the SoFi World Debit Mastercard®, you can use it for various transactions, both offline and online, and it will also give you up to 15% cashback if you shop at your local stores.
You’ll be covered for damaged or stolen items you bought with your SoFi World Debit Mastercard®, up to $1,000 per claim.
Features
- SoFi allows you to receive your paycheck up to 2 days early when you set up the direct deposit option on your SoFi mobile app. You need to supply the direct deposit information to your employer, so they can send you the paycheck to your SoFi account. After setting up the direct deposit, SoFi will send the paycheck to your account up to 2 days earlier, depending on your employer’s payment schedule.
- SoFi also provides the high 1.00% APY for your first $50,000 balance. So, it will make it easier for you to grow your money with SoFi. Not only that, the overdraft coverage for your account works with no fees for up to $50 if you are using direct deposit. So, you don’t need to worry about paying high fees for your overspending.
- This platform allows you to manage your money better with the automatic savings features. It allows you to set your own savings goals and organize your money, so you can manage your money better. Also, you will save more money when using the debit card from SoFi, with up to 15% cashback rewards for your transactions.
Pros
- No account fees
- 2 days early paycheck
- 15% cash back
- 1.25% APY
- No-fee overdraft coverage
- Automatic savigns features
Cons
- Online-only account
- Declined purchase if you overdraw by more than $50
- Fee for depositing cash
- Low interest rate if you have a balance over $50,000 in checking, savings, or Money Vaults
4. Current: Best for high APY
Current is a financial technology company that provides various banking services, including savings, checking, and money management.
Current is similar to Chime where you can get overdraft protection up to $200, fee-free.
You also get access to a financial app that can control all your financial activities while helping you to save more money.
The Savings Pod feature allows you to save your money on 4.00% APY, so you can grow your money even faster with this platform.
With the Current debit card, you can earn points for each transaction you make, and you can also redeem your points for cash.
Features
- Current offers faster paydays, so you can receive your paycheck up to two days early if you are receiving it via direct deposit. To enjoy this feature, you will need to sign up for Current Premium Account and set up your direct deposit information there. You can set up your direct deposit information via the Current banking app.
- Current also has various security and privacy features that will help protect your account from any fraudulent transactions and the risks of cyberattack. With this platform, you can use the app to block any transaction, use Face ID and fingerprint scanner to keep your transactions private, and get $250,000 of FDIC insurance for your account.
- You can enjoy the free overdraft fee for up to $200. Also, with the automated savings feature, you can set your savings goals and use your app to automate your savings each month. This way, you can reach your goals faster and ensure that you will save your money before you spend.
Pros
- 4.00% APY
- Overdraft up to $200 fee-free
- Get paid up to two days faster with direct deposit
- Earn up to 15x the points on swipes
Cons
- Individual accounts only
- No option for paper checks
5. Axos Bank: Best for low-fees
Axos Bank provides banking services that will give you plenty of advantages, such as zero fees, mobile apps to control all your financial activities, high APY for your funds, and many other advantages.
This digital bank lets you get access to an early 2-day direct deposit with Essential Checking from Axos.
With Axos Bank, you can also get a mortgage with zero lender fees and low rates, which is great if you plan to purchase or refinance your home.
The banking services offered by Axos Bank include checking, savings, small business banking, investing, personal loans, commercial banking & lending, and mortgage.
Features:
- With the Axos Bank app, you can manage your debit card and do various other banking activities, such as sending money to your friends, automating your bill payments, inviting your friends to bank with Axos, and setting your savings goal.
- Axos Bank also allows you to get paid up to 2 days earlier than the regular payday if you get paid via direct deposit with Essential Checking. For this to work for you, you will need to connect your Axos Bank account with your employer’s payroll information. Then, when your employer sends the paycheck to you, you can get it up to 2 days early after the bank confirms that the money is on its way to your account.
- You can enjoy various security features from Axos Bank, which include biometric authentication (fingerprints, facial recognition, and voice prints), to help secure your banking activities and get scammers and hackers away from you. Also, you will get various notifications for your banking activities, including text alerts, email alerts, and push notifications.
Pros
- No monthly fees
- Unlimited ATM fee reimbursements
- Early direct deposit
- Referral bonus when you invite friends
- 100% mobile and online banking
Cons
- No Physical Branches
- Average CD Rates
- Lower Savings Rates
6. M1 Finance: Best for all-in-one platform
M1 Finance provides the financial app that you can use to invest, spend, and borrow your money in one intuitive platform.
The M1 Finance app provides various financial tools to manage your money with ease, and you can also use it with lower fees when compared to other similar apps.
You can apply for loans or invest your money in just a single click from this app, and when you use the credit card from M1 Finance, you can also get up to 10% cash back for your purchases.
Features
- With M1 Finance, you can invest your money by following an easy investment process on the M1 Finance app, which you can automate and customize based on your needs. Not only that, you can also invest your money without the need to pay any commission to the platform. The checking account that comes with M1 Finance also offers a nice 1% APY for your funds.
- You can get your paycheck up to 2 days early with M1 Finance, which you can enjoy if you have set up the direct deposit payment with this platform. Also, you will need to inform your employer about your payment information before you can enjoy the 2-day early payday with M1 Finance.
- You can request a credit card from M1 Finance and get up to 10% cashback for your purchases. M1 Finance also allows you to borrow money from the app with the low 3.75% interest. Even more so, you can also get a lower interest of 2.25% if you become the M1 Finance Plus member.
Pros
- Free checking account
- High interest rate-with M1 Plus
- ATM fee reimbursement
Cons
- Paper checks only for M1 Plus users
- M1 Plus required for highest yields and 4 free ATM withdrawals a month
7. LendingClub Banking: Best for low minimum deposit for CDs
LendingClub Banking provides financial and banking services for personal, business, and institutions, which include checking accounts, savings accounts, trusts, and more.
With LendingClub Banking, you can open a checking or savings account and get various benefits for your account, including cashback, early paycheck by direct deposit, interest, free ATM fees, and many other benefits.
There is also the Advantage Program that will give you even more benefits, such as increased transfer and deposit limits, marketplace, best customer service, wire refund program, and so on.
Features:
- LendingClub Banking Checking Account allows you to get paid up to 2 days earlier if you are using direct deposit for your paychecks. To enjoy this feature, your employer needs to submit their payroll information to the Federal Reserve. Then, you can inform your employer about your account number on LendingClub Banking to get paid up to 2 days early.
- LendingClub Banking also provides you with the cashback benefits, which you can get every time you use your debit card from this banking institution. You can earn 1% cashback for your purchases, and the Rewards Checking program will allow you to accumulate your cashback for you to use later.
- With this bank, you can earn 0.10% APY for your checking account funds, starting from $2,500. Then, you can increase your APY to 0.15% when your funds reach $100,000. You can also get a much better APY of 0.65% if you open a savings account with LendingClub Banking.
How Banks Process Your Paychecks Early
Some banks can process your paychecks early only if you are getting paid through ACH transfer or direct deposit. Most banks will allow you to get your paychecks up to 2 days earlier than the normal scheduled payday from your employer. The banks can process your paychecks early when your employer submits the payroll information to the Federal Reserve.
Sending paychecks can take some time for the transfer to get through, such as in 1-2 days. So, when your employer sends the paycheck to you, your bank will know about the money coming to your account, even though the transaction will complete in 1-2 days. By knowing that money is on the way to your account, the bank will cover the money for you beforehand. Thus, you can receive the early direct deposit payment on your bank account.
Not all bank accounts offer this feature. Some national banks will offer this feature when you request them, and they might charge you for a fee when you activate the early direct deposit feature. So, be sure to check with your bank to find out if they can provide the early direct deposit transfer for you.
How to Set Up Early Direct Deposit
Setting up direct early direct deposit is quite easy to do. Each bank will have their own instructions on how you can set it up. So, it’s best for you to request help from your bank to make it easier for you to do that.
However, there are certain common steps that you can follow to set up early direct deposit with your bank, which will work with most banks that offer the early direct deposit option.
First, you need to look for the option to set up an early direct deposit in the banking app you are using. Then, you will need to fill out the form with information related to your bank account, so you can get your paycheck early to your account.
Next, you will need to inform your employer about the early direct deposit set up and update your payment information with your employer. Be sure to set your paycheck to direct deposit or ACH transfer.
Now, you have set up your account to receive early direct deposit, meaning that you will get your paycheck up to 2 days early on your account.
FAQs
- What banks release direct deposits early? There are various banks in the US that offer the early direct deposit option for their account holders. Often, the early direct deposit option is available for their checking accounts, and they will often provide this service for free. The banks listed in this guide are the ones that provide the early direct deposit option for their account holders.
- Does Bank of America offer early direct deposit? For now, no. Bank of America doesn’t offer the early direct deposit option for their account holders. You can still use the direct deposit transfer from Bank of America, but you will receive the direct deposit transfer as scheduled. So, you need to find an alternative to Bank of America if you want to use the early direct deposit option for your paychecks.
- What banks release deposits two days early? We have listed the best banks that offer direct deposits two days early, so you just need to pick one from these available options. There are still other banks you can use for early direct deposit, but the banks listed in this guide are the best ones that offer you the early direct deposit option, along with various additional banking benefits.
- Does Chase release direct deposits early? Yes, starting in 2022, Chase allows their account holders to receive direct deposits early. So, you can use Chase Bank to set up an early direct deposit with your employer starting in 2022. However, before 2022, Chase didn’t offer this type of service to their account holders.
- Should I use the direct deposit option to get my paycheck early? Yes, early direct deposits are only available if you are using the direct deposit or ACH transfer payment option for your paycheck. So, you need to set up the direct deposit payment option for your paycheck, so that you can receive your paycheck up to 2 days early. You will need to set up the early direct deposit option on the banking app you are using, provided that your bank allows you to use this feature.
Early Paycheck, Get Paid Early
These are the best banks you can use for early direct deposit. Getting your paychecks earlier will give you plenty of benefits, as you can use your paycheck earlier than most of your co-workers.
This is the feature that you should take advantage of, and because not all banks offer this feature, it’s best for you to pick the best bank from the list in this guide to enjoy the early paycheck benefit as soon as possible.
