CFPB: Employers Must Offer Payroll Card Alternatives

The Consumer Financial Protection Bureau (CFPB) issued a statement on September 12 that indicated employers who do not provide employees with an alternative to prepaid payroll cards are in violation of federal law, The Wall Street Journal reported.

“Employees must have options when it comes to how they receive their wages,” CFPB director, Richard Cordray, said in a statement.

The move came in response to growing sentiment that these debit cards carried high fees. For more on the developing story and how it will affect U.S. employers, click here.