FinTech company DailyPay launched a general purpose reloadable (GPR) prepaid card and app called Friday that enables employees to receive instant, no-fee, on-demand pay transfers from employers who use the company’s on-demand pay platform called DailyPay.
Beyond that, the Friday app enables users to view and access their earned pay before payday, add the card to a mobile wallet, make purchases, manage their money and track their spending, according to a Wednesday (Sept. 7) press release.
“Friday exemplifies DailyPay’s continued focus on delivering modern pay strategies that improve the lives of our users,” DailyPay CEO Kevin Coop said in the release. “With Friday, DailyPay users have more flexibility and control over their financial futures than ever before.”
Created in partnership with Visa and The Bancorp Bank, Friday also includes a Visa card as well as access to fee-free Allpoint ATMs, per the press release.
Offering employees on-demand payments outside normal pay periods can give them much-needed financial flexibility, DailyPay Senior Vice President Ron Munkittrick told PYMNTS in an interview posted in May 2021.
Read more: How DailyPay Works To Address On-Demand Payroll Expectations
“Workers, especially those at the lower end of the wage scale, don’t have enough control over their pay,” Munkittrick said. “They’re suffering hardship as a result, whether it’s because of bank fees, late fees or having to go to payday lenders.”
DailyPay aims to address this problem by providing payment on demand when employees need funds, taking the funds from money the worker has already earned and subtracting them from the following paycheck, Munkittrick said.
PYMNTS research has found that workers of all types are increasingly interested in on-demand payments or other digital payroll approaches that make wages more readily available.
Read more: On-Demand Payments Help Companies Retain In-Demand Contractors, Consultants
As a result, companies that offer more flexible payments will have a clear advantage when it comes to recruiting new employees.
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