Check or direct deposit

[WormTheRed]

Ok, I've worked "white" in Sweden, Norway and Iceland and I have never recived a check in my hand, my salary has always been deposided directly into my bank account (and that's even if I've bounced at a night-club).

So what I wonder is how many people (and where you're at) still get a check that they themselves have to go to the bank with? My wonderings about this originated in this thread (http://boards.straightdope.com/sdmb/showthread.php?t=489257). 'Cause this couldn't happen anywhere I know off.

(And since I'm thinking of moving countries this really interests me)

[SeaDragonTattoo]

Both of my employers offer whatever the employee wants. Very few get checks, but some do. I've asked a couple of people, "Why the hell would you want an actual check?" and the answer has been that they can't get accounts. I felt nosy and insensitive for asking after that.

[WormTheRed]

Both of my employers offer whatever the employee wants. Very few get checks, but some do. I've asked a couple of people, "Why the hell would you want an actual check?" and the answer has been that they can't get accounts. I felt nosy and insensitive for asking after that.

Ok, if you can't get an account, sure.

But the only two guys I've ever met in Sweden (when I lived there) who couldn't get accounts was one who'd hacced into SÄPO (swedish CIA/FBI) and one who managed to cheat an ATM (ans got caught)

[3acresandatruck]

When I was working, I used direct deposit. I was even in the first test group at our corporation to try it, because I knew one of the programmers and she got me in on it. Now, I get a check and take it to the bank to deposit it. Direct deposit is available and they'd prefer not to have to print and mail me a check, but the paperwork involved in setting it up was such a pain, that I told them to forget it. It's not a hassle to go to the bank; I drive past it on the way to the grocery store anyway.

[WormTheRed]

Double posting... where the first one was wrong.

[WormTheRed]

When I was working, I used direct deposit. I was even in the first test group at our corporation to try it, because I knew one of the programmers and she got me in on it. Now, I get a check and take it to the bank to deposit it. Direct deposit is available and they'd prefer not to have to print and mail me a check, but the paperwork involved in setting it up was such a pain, that I told them to forget it. It's not a hassle to go to the bank; I drive past it on the way to the grocery store anyway.

You forgot to tell where you are?

'Cause I (for 3 months more) get a text whenever my pay has been deposited into my account. It can't be any easier, right? Or do you have to pay extra for direct deposit? (I'm willing to settle for hassle)

[Czarcasm]

I used direct deposit, and it was nice to know that my money was in the bank when I got up every other Friday.
I say used because, as of September 8th of this year, my company suddenly announced that they would no longer participate in direct deposit "until further notice". They won't even mail the checks-instead, they hand them out to all personnel at the main office.
After 5:30pm on Friday.

[WormTheRed]

I used direct deposit, and it was nice to know that my money was in the bank when I got up every other Friday.
I say used because, as of September 8th of this year, my company suddenly announced that they would no longer participate in direct deposit "until further notice". They won't even mail the checks-instead, they hand them out to all personnel at the main office.
After 5:30pm on Friday.

And how can this possibly be cheaper for the company????

[Czarcasm]

And how can this possibly be cheaper for the company????I'm thinking they are hoping that a large number of employees won't be able to deposit their checks until Monday, giving them time to get their financial shit together.

[3acresandatruck]

You forgot to tell whre you are?

'Cause I (for 3 months more) get a text whenever my pay has been deposited into my account. It can't be any easier, right? Or do you have to pay extra for direct deposit? (I'm willing to settle for hassle)
Sorry, I keep forgetting that my location field died when I dropped down to guest status. I'm in Missouri, about 50 miles from the St. Louis riverfront. No, I wouldn't pay anything extra for direct deposit.

[Dewey Finn]

My company strongly encourage all employees to get direct deposit and we don't get a paper paycheck stub. (I can go onto the corporate website and get the numbers so I can enter them into Quicken.) And I can't imagine that anyone would charge for direct deposit. In fact, most banks will give you free checking if you direct deposit your paycheck.

[Antinor01]

They want us to use direct deposit but I choose to get an actual check. No real compelling reason, I just prefer it that way.

[friedo]

I was doing a lot of consulting over the past couple years for small firms, where I had to bill by the hour, and so I always got a paper (handwritten) check for whatever I billed.

Now that I'm full-timing again, direct-deposit all the way.

[atomicbadgerrace]

I've used direct deposit in every instance where it's been available. At my current job, switching accounts or splitting my check is as simple as logging on and entering the account info. Changes are processed immediately-- if I change my account info Thursday afternoon, it's updated by the time my paycheck is available Friday morning. Convenient is an understatement.

A friend of mine gets paper checks, when she gets checks. She's a server and the vast majority of her income is in tips. A few months ago, I asked her why she doesn't do direct deposit. Her response was that she has to fill out about 3 forms to get it started, and bring in a copy of a check. Too much to do for the occasional times she is actually issued a check.

[ZipperJJ]

I have a small company and I had to do physical checks for the past 7 years because direct deposit was way too expensive for us, for just 3 people. Now we're able to get it through Quickbooks Payroll Services, but it costs $299/year for that plus $3.16 every time I run payroll.

My bank is kind of far and out of the way, and we get paid weekly, so when gas prices went up I decided it actually saved ME money to do direct deposit.

From what I've seen while exploring direct deposit options, it can be expensive for a company. There is probably a "sweet spot" where it gets cheaper as you add more employees but the fewer you have the more expensive it is.

[Eva Luna]

I'm thinking they are hoping that a large number of employees won't be able to deposit their checks until Monday, giving them time to get their financial shit together.

The office manager at my last employer told me that the partners wouldn't do direct deposit because if they did it through their payroll company, it meant they had to have all the cash on hand to meet payroll 3 days earlier than they would otherwise. Later I discovered the firm was having financial problems (which is part of why I'm not there anymore - my boss quit and jumped ship for another firm, and took me and the entire immigration practice with him).

Oddly, if you weren't going to be in the office on payday for some reason, they were glad to have the mailroom guy go to your bank and deposit your check in your account for you.

[jackdavinci]

I get direct deposit and can't imagine it any other way. My friend got checks because he worked far away from his house and preferred to have a bank close to his job. I know a few people who like to get checks so they can go to the bank of their employer and cash the check right away.

[phall0106]

The last two jobs I've had ONLY offered direct deposit for paychecks. I've had it for so long, I can't imagine having it any other way. My money available immediately on payday, already in my checking account, versus getting a physical check from my employer, finding the time to go by the bank, fighting traffic to the bank, filling out a deposit slip, waiting in line...agh. Why go through that?

[Voyager]

U.S. Definitely direct deposit, especially nice since even when I'm traveling the money goes in. We don't get paper anymore either, but we have an app that lets us look at our paystubs back for years.

My wife is a freelance writer, and some of the companies she works for a lot do direct deposit also.

[Jeff]

I know a few people who like to get checks so they can go to the bank of their employer and cash the check right away.

Yeah, usually the ones who need the cash so they can get a start drinking it away on a friday night, thus insuring they'll be desperately broke again, come next payday.

Direct deposit all the way for me. My bank changed their account-numbering system years ago and I still can't remember my new ones to save my life.

[Musicat]

Direct deposit doesn't work for those of us whose income comes from varied sources and who have to invoice those sources before getting paid. Except for regular government handouts, I haven't held a job for 20 years that could pay me by direct deposit.

[jali]

Georgia (USA - not Europe). Direct deposit. I don't think anyone in my office (about 70 people) gets a check.

[Richard Pearse]

Australia and previously New Zealand. I haven't received a pay cheque for about 13 years. I also pay all my bills by direct deposit and receive many of them electronically as well.

[UnwrittenNocturne]

Following on what 1920s said. Prior to arriving in America some four years back(and having lived most of my life in Australia and New Zealand) I hadn't seen a cheque for at least ten years. I wasn't even aware banks still issued them

[Tamex]

I have direct deposit. Supposedly, it is now mandatory at my company, but I did know of one coworker who still got a paper check because she claimed she was unable to get a bank account. They have to pay a person somehow, it seems.

Do people in other countries who are not so good with their money have trouble getting bank accounts?

I still get paper paystubs mailed to my house, which is nice. I did not opt for direct deposit at one old job for a long time because they did not mail or hand out paystubs--instead, they e-mailed them to an e-mail account that I had no way to access. I figured that the company could eat the cost of issuing me a paper check until they got a way for me to access that account so I could see my paystubs. (They eventually did.)

[Sublight]

Working in Japan

Every company I've worked with (except for two) has done direct deposit, since checks are pretty much non-existant here. The exceptions were both English schools that simply paid me in cash at the end of each month (nothing shady was going on, they still took out taxes and other withholdings).

All my bill payments are automatic withdrawl as well, which is extremely convenient. The alternative is also pretty easy, and not one I saw in the US. Each month (if you're not doing automatic payment), your bill comes with a barcode printed on it. You just bring the bill to your local convenience store, where they scan it and take your payment.

ETA: One of the "you know you've been in Japan too long" jokes is "You've forgotten how to write a check." followed by "you had to stop and think for a minute what a check was."

[chrisk]

Working in Japan

Every company I've worked with (except for two) has done direct deposit, since checks are pretty much non-existant here.

ETA: One of the "you know you've been in Japan too long" jokes is "You've forgotten how to write a check." followed by "you had to stop and think for a minute what a check was."

First off, direct deposit for years, as long as I've been working at my company, it's ubiquitous. I think payroll would probably be raising a stink if they had to issue printed checks to a few people every week. :)

Followup question regarding this stuff about nobody WRITING checks in Japan - what about rent? That's one situation here where checks are still fairly commonplace as far as I know - each tenant making out a personal check for the monthly rent, dropping it off somewhere or giving it to the building manager or the landlord directly.

[Richard Pearse]

Followup question regarding this stuff about nobody WRITING checks in Japan - what about rent? That's one situation here where checks are still fairly commonplace as far as I know - each tenant making out a personal check for the monthly rent, dropping it off somewhere or giving it to the building manager or the landlord directly.
I can't speak for Japan but in Australia I have an automatic electronic funds transfer setup for my rent. Actually I don't, my employer pays my rent and then takes it out of my salary, but prior to that arrangement I had an automatic payment setup. I used to own a cheque book, about 14-15 years ago, even then I didn't use it often. On the very rare occasions where I still need a cheque, I go to the bank and get a bank cheque. I need one of those less than once a year.

[Musicat]

I'm curious how the military pays. When I was in the army, they handed out cash in the U.S., or scrip overseas. Surely they have direct deposit now?

[Sublight]

Followup question regarding this stuff about nobody WRITING checks in Japan - what about rent? That's one situation here where checks are still fairly commonplace as far as I know - each tenant making out a personal check for the monthly rent, dropping it off somewhere or giving it to the building manager or the landlord directly.
Nope, the landlord would give me his/her bank name and account number, and I'd transfer the money to their account from the ATM the first of each month.

[Oakminster]

I'm curious how the military pays. When I was in the army, they handed out cash in the U.S., or scrip overseas. Surely they have direct deposit now?


Direct deposit was required after you arrived at your first permanent duty station back when I was in the Air Force...1988-1992. In basic we were issued something like an atm card, and got cash from a machine. At technical training school, we got paper checks, cashable at the base exchange. Basic was about 6 weeks, tech school was a few months, so not really worth setting up a bank account at either place.

[amarone]

I have direct deposit. Supposedly, it is now mandatory at my company, Laws vary from state to state, of course, but our HR rep told us that the company cannot legally mandate direct deposit.

[Cub Mistress]

I'm curious how the military pays. When I was in the army, they handed out cash in the U.S., or scrip overseas. Surely they have direct deposit now?

When my husband was in te Army in 1977, he got direct deposit except for the one time his pay got screwed up and he got a cash emergency payment. We've had direct deposit at every job since then and can't imagine any other way anymore. My current job requires direct deposit, a pay stub-type accounting is mailed to your home every payday.

[WormTheRed]

Thank you all for the great input!

So basically, most people get dd, with the checks being fewer and farther between.

[Projammer]

I used direct deposit, and it was nice to know that my money was in the bank when I got up every other Friday.
I say used because, as of September 8th of this year, my company suddenly announced that they would no longer participate in direct deposit "until further notice". They won't even mail the checks-instead, they hand them out to all personnel at the main office.
After 5:30pm on Friday.

My first thought was that your employer suspects there are one or more ghost employees on payroll. One solution being to require someone to pick up the checks for a couple of pay periods with photo ID.

As for me, I've always chosen DD when it was offered and my current employer requires it. I still get a voided check and stub in the mail every payday though. I'm guessing that if there were an employee that couldn't get an account for some reason that their check just wouldn't be voided.

[Cunctator]

Direct deposit here. I started full-time work in 1985 and pay cheques weren't even an option then.

[Tamex]

Laws vary from state to state, of course, but our HR rep told us that the company cannot legally mandate direct deposit.

I have no idea as to the legal aspects, but, ours really could not, either, because those employees without bank accounts still had to get paid somehow. After all, my company was not willing/able to set up bank accounts for those employees. Therefore, although they told us we had to switch, in reality, there was nothing they could do to enforce it.

[nashiitashii]

Both of my employers offer whatever the employee wants. Very few get checks, but some do. I've asked a couple of people, "Why the hell would you want an actual check?" and the answer has been that they can't get accounts. I felt nosy and insensitive for asking after that.

Just so you know, Worm, it's more common for people who can't get a bank account in the U.S. because their credit is just. that. bad. that few or no banks will trust them not to bounce the account more times than their fees are worth. I knew a kid in college who couldn't get his own account for this reason and thus had his checks deposited into his girlfriend's account... well, when he was employed and not mooching off the girlfriend, this was the scenario. He's a rare example, if only for the fact that it was a combination of bad credit and being really irresponsible with everything.

[Cunctator]

Just so you know, Worm, it's more common for people who can't get a bank account in the U.S. because their credit is just. that. bad. that few or no banks will trust them not to bounce the account more times than their fees are worth.Why can't they just get a plain savings account without any credit or cheque facilities?

[SeaDragonTattoo]

Why can't they just get a plain savings account without any credit or cheque facilities?

These days, most savings accounts need a minimum balance, the smallest I've seen has been $300 that has to stay in the account.
With that, there's also a maximum number of withdrawals allowed per month (usually 3) over which there's a fee or it's just not allowed.
Having paychecks deposited into the savings account and then withdrawing most of it kind of defeats the purpose (in the bank's rules) and isn't practical for someone who has to pay cash for everything.
It's usually quicker and costs less (in the long run) to just take the check to a currency exchange. These folks may in fact have a savings account, but they just deposit the cash and therefore limit the number of withdrawals for just the "big stuff".

[Icarus]

Me - USA, I've had direct deposit for about 30 years, except for one period......

I was working for a bank and had my account with the same bank. They deposited my pay like usual, then they discovered they had made an error. So, they reversed the entire amount out of my account until they could get around to re-depositing the correct amount (days later). Mayhem ensued, checks that I wrote from the account bounced, etc.

As soon as I could, I changed to a physical paycheck, and I closed my account. I then opened an account at a competing bank. There was no way I was going to let those monkeys have so much control over my money again.

At my next employer I was back to direct deposit and have been happy with the arrangement since then.

I pay all the bills that I can online. It's a pain in the assets to deal with checks incoming (rebates, gifts, etc.), I have to drive to the bank!?!? and outgoing (gardener, pool man), where are those stamps and envelopes?!?!.

[gotpasswords]

Why can't they just get a plain savings account without any credit or cheque facilities?

Around here, you generally need to pony up about $5000 just to open the account, and that may also be the minimum balance. After that, depending on the precise kind of account, there may be federally-mandated maximums on the number of withdrawals you can make per month. Adding to the annoyance is that you'd have to go to your bank's ATM to get money - savings accounts are rarely associated with debit cards, so your whole life is on cash - pay cash at the grocery store, pay cash at the gas station, and so on.

If you can only make three or four withdrawals per month for all of your living expenses, you're carrying a lot of cash. You probably can't get enough cash per withdrawal at an ATM to live on, so you need to go into the bank once a week, either to get enough cash, or to buy money orders to pay your bills with.

Our tenant is one of those unlucky people that bounced checks and had their checking account closed with a chargeoff. As a result, any bank that uses Chex Systems (and it's far easier to count up the banks that don't use them!) won't let them open an account. He's got a pre-paid Visa debit card through H&R Block - it was one of their options for receiving an income tax refund. He is able to have his paychecks direct-deposited to that, so he can live pretty normally as far as being able to use a debit card at stores, as well as at ATMs to get cash.

About the only weird thing is that he has to hit the ATM on three successive days to get enough cash to pay rent.

[silenus]

We're strictly DD around Casa Silenus. The big bonus is that my pay is almost always in my account the day before it's supposed to be there (if the 1st is a Wednesday, for example, my pay is deposited Tuesday. It's supposed to go in after business hours, but that time has crept earlier and earlier until I get paid by noon the day before now). I'm on a monthly paycheck, so the early day comes in handy sometimes. Prevents me from having to shuffle money from savings and all that. We pay all bills on-line, so I really wonder why I still have a checkbook.

[Red Stilettos]

My employer will only do direct deposit. If you don't have a bank account, they set one up for you at a local credit union.

For us, if payday is the 31st, the money gets deposited at COB on the 30th. So, if we did have paper checks, that would be the slower way to get to your money.

[HongKongFooey]

Where I work it's all direct deposit except for bonus checks. Strangely, not only do we not have a choice about dd, we can't even choose the bank. I already had an account at that bank when I was hired so it wasn't an issue for me but other employees have had to open accounts there when they came aboard. It's a big company but the payroll department has always been very insistent on that.

[even sven]

Wow, I'm like the only luddite freak who prefers a check. I also prefer to pay cash for things.

I like having a physical understanding of how much money is going in and out of my account. At a bookstore, for example, it is really easy for me to swipe my card and spend a hundred bucks. But if I'm paying cash, it's hard to let that many twenties fly out of my pocket. Being a physical part of the flow of money helps me have a intuitive understanding of exactly where I stand, money-wise. Yeah, I know pay stubs are physical. But for me it just isn't the same feeling as walking up to an ATM and depositing my check.

Now (in China) I have direct deposit and I hate it. I never know quite when I get paid or how much money I have at any time. It's really hard for me to have the instinctual understanding of my financial situation that I had in the States.

[UnwrittenNocturne]

Around here, you generally need to pony up about $5000 just to open the account, and that may also be the minimum balance. After that, depending on the precise kind of account, there may be federally-mandated maximums on the number of withdrawals you can make per month. Adding to the annoyance is that you'd have to go to your bank's ATM to get money - savings accounts are rarely associated with debit cards, so your whole life is on cash - pay cash at the grocery store, pay cash at the gas station, and so on.

If you can only make three or four withdrawals per month for all of your living expenses, you're carrying a lot of cash. You probably can't get enough cash per withdrawal at an ATM to live on, so you need to go into the bank once a week, either to get enough cash, or to buy money orders to pay your bills with.

Our tenant is one of those unlucky people that bounced checks and had their checking account closed with a chargeoff. As a result, any bank that uses Chex Systems (and it's far easier to count up the banks that don't use them!) won't let them open an account. He's got a pre-paid Visa debit card through H&R Block - it was one of their options for receiving an income tax refund. He is able to have his paychecks direct-deposited to that, so he can live pretty normally as far as being able to use a debit card at stores, as well as at ATMs to get cash.

About the only weird thing is that he has to hit the ATM on three successive days to get enough cash to pay rent.

When we say savings account it means something different. To us it means an everyday account with a debit card attached. Much as cheque accounts are treated in the US.

[TheLoadedDog]

Australia and previously New Zealand. I haven't received a pay cheque for about 13 years. I also pay all my bills by direct deposit and receive many of them electronically as well.

Yeah. I've been on direct deposit since early 1990. I only go into a bank once a year, and that's to deposit my tax cheque. Everything else I do at home on the internet.


Being handed a paypacket of cash or a cheque at the workplace would be to me like commuting by horse and buggy. I couldn't imagine it now, it's been so long.

[Tamex]

When we say savings account it means something different. To us it means an everyday account with a debit card attached. Much as cheque accounts are treated in the US.

That would still be called a checking account in the US, even if you never used a paper check and always used the debit card. A savings account is not meant to have many withdrawals. Instead, it's where you save money for the proverbial rainy day.

[Ann Onimous]

I use DD. I'm in Mississippi, but our home office is in Florida. DD goes in every other Friday, but checks are also sent on that Friday. So, if you get a paper check, you won't receive it until the Tuesday or Wednesday after payday.

My kids have not quite figured this DD thing out. It's cool to see them when the money "magically" appears in the account. :)

[Richard Pearse]

That would still be called a checking account in the US, even if you never used a paper check and always used the debit card. A savings account is not meant to have many withdrawals. Instead, it's where you save money for the proverbial rainy day.
A non-US "savings account" is a cheque type everyday account but we don't generally have cheques so there is less risk of overdrawing the account. It seems you guys either have high risk cheque accounts that people with poor credit history can't get, or restrictive savings accounts that can't be easily used for day to day transactions.

The Loaded Dog, even my tax refund is a direct deposit into my account. I'm so out of touch with using cheques and going to banks that I have over a hundred dollars in medicare refund cheques sitting in my in-tray; I never get around to depositing them.

[Scarlett67]

Ok, I've worked "white" in Sweden, Norway and Iceland

My Google-fu is weak; I haven't been able to discover what this means. Searching only seems to reveal info about "working white-collar employees" or "working white people." My best guess is that it's the opposite of "working under the table"; that is, a legitimate job whose wages are appropriately taxed, recorded, etc.

Please 'splain!

[WormTheRed]

My Google-fu is weak; I haven't been able to discover what this means. Searching only seems to reveal info about "working white-collar employees" or "working white people." My best guess is that it's the opposite of "working under the table"; that is, a legitimate job whose wages are appropriately taxed, recorded, etc.

Please 'splain!

I mixed up my metaphores between languages :)

But you are completely correct in your guesses. I managed to use a Swedish/Icelandic metaphor which didn't translate all that well.

(for comfort, I do it all the time in Icelandic and Swedish as well)

[Scarlett67]

Interesting . . . even though it was a mistake, I think it actually works. Congratulations on creating a new metaphor! :)

Oh, and thanks for cluing me in.

[WormTheRed]

Yay! I am a creator of metaphors.

A ruler of words

A master of paragraphs

:D

And now, I'll stop.

(and no probs with the clues, 'twas after all a mistake on my behalf)

[Desert Nomad]

The last job I had in the US only had 6 or 7 employees and we got paper checks... no choice in the matter. The last job I had overall was in the Republic of Georgia and I was paid in cash as there was no system of checks or direct deposit... it's a cash society. In fact, the company I worked for did not use banks at all... they just had a big burley guy with a massive safe, and everyone was armed. I don't know anyone who used banks there.

[Walkabout]

I get direct deposit, but the company my husband works for has only paper checks, which must be picked up at the office after 4pm on payday (every Friday). It's a small company of only about 15 people, so I guess it's easier and cheaper for them to do it that way.