7 Banks With Early Direct Deposit 2023 [Get Paid Faster]

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Banks with early direct deposit can be a great perk if you're trying to avoid overdraft fees or need access to your paycheck up to 2 days faster.

Direct deposit is the most efficient method to receive your paycheck into your checking account. By taking advantage of early direct deposit features offered by several banks, you can get access to your funds even sooner.

Getting your paycheck a few days early can be extremely helpful, especially if you’re tight on cash. That’s why we’ve compiled a list of bank accounts that offer early direct deposit. With this service, your paycheck will be deposited into your checking account up to two days earlier than usual. Keep reading to learn more about how this works and why it could be a smart move for you.

However, if you’re looking for banks that offer early direct deposit, here are some of the best banks you should consider.

1. Current – Our Pick

current
  • Annual Percentage Yield (APY): 0% to 4% APY
  • Minimum Deposit Amount: $0
Why We Like It:

Current is an online banking app with a Visa debit card that gets you paid up to two days faster with direct deposit and gives you free overdraft up to $200 with no hidden fees. Earn up to 15x points on purchases that are redeemable for cash back, 55,000 fee-free in-network ATMs, and instant gas hold refunds.

Pros:

  • Get paid up to two days faster with direct deposit, so you have your money when you need it most.
  • Earn up to 15x the points on swipes, so you can cash in on the purchases you make every day.
  • Current also offers other accounts you can use for your savings or spending.
  • Buy and sell crypto in the same app where you already save and spend. So now all your money works together seamlessly.
  • Earn 4.00% APY on your Savings Pods, so you can reach your goals faster.
  • With Overdrive™, you can overdraft up to $200 without any overdraft fees.
  • Banking services by Current are offered by Choice Financial Group, which is FDIC-insured. That guarantees your money’s safety and the financial institution’s legitimacy.  
Cons:

  • Email-based support only
Our Pick
Current
4.5

Current is a mobile banking app with a Visa debit card that gets you paid up to two days faster with direct deposit and gives you free overdraft up to $200 with no hidden fees. Earn up to 15x points on purchases that are redeemable for cash back, 55,000 fee-free in-network ATMs, and instant gas hold refunds.

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2. Axos Bank

  • Annual Percentage Yield (APY): 0% APY
  • Minimum Deposit Amount: $0
Why We Like It:

Axos is a bank founded in 2000 and based in San Diego, CA. Axos Bank Essential Checking is available in 50 states (and Washington, DC) and comes with a Direct Deposit Express feature.

When you have a checking account with Axos, you get access to your money as soon as the payroll is sent to the bank. There are no delays.

Due to the immediacy of processing your paycheck, Axos Bank reduces the chances of fraud. You, therefore, shouldn’t worry about the security of your money. Besides, the company has been operational for more than 20 years.

Here’re some other features you’ll enjoy from opening an early direct deposit with Axos Bank.   

Pros:

  • Often offers lucrative bank bonuses for its checking products.
  • Unlimited domestic ATM fee reimbursements.
  • No overdraft or non-sufficient funds fees.
  • No monthly maintenance fees.
  • No minimum monthly balance requirements.
  • Direct Deposit Express so you can get paid two days faster.
  • Exclusive Visa® offers and perks.
Cons:

  • Does not earn interest.
Axos Essential Checking
5.0

Open a free account and get paid two days earlier with direct deposit. You don't have to worry about keeping a minimum balance. As with the bank's other checking accounts, there are no monthly fees, and all fees charged by domestic ATM operators are reimbursed. Axos doesn't charge any ATM fees itself.

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3. Fifth Third Bank

  • Annual Percentage Yield (APY): 0.01% APY
  • Minimum Deposit Amount: $0
Why We Like It:

Fifth Third Bank is another bank that offers early direct deposit with the Fifth Third Momentum® Checking Account. No fees and no enrollment required—simply set up direct deposit with your Fifth Third Momentum® account.

Early Pay grants access to your direct deposit up to two days prior to the scheduled payment date. Early availability of your paycheck is based on the timing of the payer’s payment instructions.

Pros:

  • No hidden fees, no minimum balance
  • Extra Time® to avoid overdraft fees.
  • Peace of mind with fraud protection.
  • Get access to your eligible payroll direct deposits up to 2 days early with free Early Pay.
  • Immediate Funds to instantly access your check deposits (fees apply).
  • Local bankers to help at every step
Cons:

  • Low savings APY
Fifth Third Momentum® Banking
3.5

Fifth Third Bank is based in Ohio and has a strong branch network across 11 states in the Midwest, South and Southeast. No monthly fee for checking, and easy requirements to have monthly savings fee waived.

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4. Chime

chime
  • Annual Percentage Yield (APY): 1.50% APY if also open a Chime High Yield Savings account
  • Minimum Deposit Amount: $0
Why We Like It:

Chime is one of the best fintech online companies and is known for offering early direct deposits. In fact, according to Dough Roller, Chime is said to have quadrupled its profits following the introduction of early direct deposit.

Unlike most fintech that targets opulent customers, Chime is very friendly to middle-class users and Millennials. Other than the early direct deposit, here are more features you get to enjoy from Chime.

Pros:

  • No monthly service, transfer, or foreign transaction fees.
  • No minimum balance is requireded.
  • Access to more than 60,000 surcharge-free ATMs. 
  • Overdraw your account up to $200 without fees with SpotMe.  
  • Earn 1.50%¹ Annual Percentage Yield (APY) if you open a Chime High Yield Savings Account.
  • FDIC insured.
Con:

  • Cash deposit is offered only through third-party retailers.
  • Mobile check deposit is available only if you’re also signed up for direct deposit.
Chime
4.5

Chime is an award-winning mobile banking app with no monthly fees that can get you paid up to 2 days early with direct deposit. With over 135,000+ five-star reviews, Chime makes mobile banking easy with a modern and intuitive banking app that handles everything from tracking your spending and savings to paying friends.

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The Annual Percentage Yield (“APY”) for the Chime Savings Account is variable and may change at any time. The disclosed APY is effective as of July 13th, 2022. No minimum balance required. Must have $0.01 in savings to earn interest.  

5. Varo

  • Annual Percentage Yield (APY): 0% APY
  • Minimum Deposit Amount: $0
Why We Like It:

Varo is a digital bank that was founded in 2015. Since it’s an online bank, you can sign up on Varo Bank online without visiting a physical bank.

Varo also offers checking accounts with no monthly maintenance fee or minimum requirement. The checking accounts have the early direct deposit feature that allows you to receive your payment soon as the employer releases the payroll to Varo bank.   

Other features of Varo Bank include:  

Pros:

  • The bank allows a cash advance of up to $100 for its checking accounts. However, your account must have been active for at least 30 days or be eligible for the cash advance. Additionally, the cash advance has to be paid back within a month, and it’s subject to a fee of $0-$5. The fee depends on the amount borrowed.   
  • Varo Bank also offers up to 55,000 free withdrawals for Allpoint ATMs.
  • The bank also doesn’t charge any foreign transaction fee. 
Cons:

  • There’s a fee of up to $5 on cash advances depending on the amount borrowed.   
  • Withdrawals on non-Allpoint ATMs accrue a $2.50 fee.   

6. LendingClub Bank

  • Annual Percentage Yield (APY): Up to 0.15% APY
  • Minimum Deposit Amount: $100
Why We Like It:

LendingClub Bank was opened in 1987. It was formerly known as First Trade Union Bank, then Radius Bank. However, it was not until 2013, when it partnered up with LevelUp, a fintech, that the bank took off. Therefore, today, LendingClub Bank is a hybrid bank with both an online and physical community. It has only one physical location.   

Moving to the most crucial bit; early direct deposits. LendingClub Bank later partnered with Aspiration to introduce high-yield checking accounts. This partnership would lead to the creation of early direct deposits. Therefore, making LendingClub Banks among the first banks to introduce that feature.

Other benefits of using LendingClub Bank include:   

Pros:

  • The checking accounts allow an above-average interest rate.   
  • The bank also offers a reward checking account. This account puts back money in your pocket each month for every purchase that was done using a debit card. It comes in handy if you’re looking to save your money.   
  • You also get to enjoy no charges on sun ATM worldwide.   
Cons:

  • You must have at least $2,500 a month in your direct deposits or $2,500 in your rewards checking account to be viable for the cashback reward.   
  • The bank also offers a high-yield savings account and Certificate of Deposits. 

7. Freedom First

  • Annual Percentage Yield (APY): earn up to 5.00% APY on Average Daily Balance (ADB) up to $10,000
  • Minimum Deposit Amount: $50
Why We Like It:

Freedom first is a credit union that offers three types of checking accounts:   

  • Freedom Checking   
  • Freedom Cash   
  • Freedom Stash   

All these types of checking accounts have the early direct deposit feature. The feature allows access to mobile deposited checks in less than 15 minutes. It can’t get any faster.   

Pros:

  • The Freedom Stash checking account allows yield of up to $10,000 on accounts with more than $5,000 monthly direct deposits. This checking account also offers four free ATM withdrawals every month. Therefore, freedom stash would make an excellent choice if you’re spoilt for choice between the three types of checking accounts.  
  • The credit union also offers savings and money market accounts. It also gives a certificate of deposit.
Cons:

  • The freedom Stash and Freedom Cash accounts have a monthly maintenance fee of $9. However, the fee can waver when the direct deposit minimum is met.   
  • The free ATM withdrawals and other superior advantages are available to the freedom Stash account and only after the direct deposit minimum requirement of $5,000 is met.

Early Direct Deposit is a Game Changer

According to a recent report by the American Payroll Association, about 94% of American workers receive their paychecks through direct deposit. It’s easy to see why this is the most preferred method to receive payments.

First, it’s the fastest way to receive your paycheck in your checking or savings account. It, therefore, means that you get paid at least two days earlier than when using traditional accounts.   

Other than that, direct deposit allows paychecks to be sent digitally to the bank. They are processed, and the payment is released. It helps reduce the hassle of visiting a bank to process your payment.

As such, direct deposits have also come in handy to facilitate remote working. The money is sent directly from the company’s accounts to the remote worker’s accounts without visiting the bank. If you’re only learning this now, here’s a guide for international bank transfer fees for remote workers based in Australia.

Despite the value of the direct deposit, there’s still a need for more urgency when processing payments.

Hence, most businesses have taken a step further and introduced early direct deposit.

What Is Early Direct Deposit?

Early direct deposit is an upgrade of direct deposit. You don’t have to wait two or more days to receive your payment using an early direct deposit.

Instead, as soon as the employer releases the paycheck, the bank directly puts it into your account. Therefore, if the paycheck is released on Wednesday, you can access your money via early direct deposit on the same day.

On the other hand, your coworkers using traditional bank accounts will get paid on Friday or even later, depending on the account type they’re using.

This is why banks with early direct deposit can be beneficial, especially if you’re trying to offset some sudden bills. Also, it can be very stressful to wait for your money, especially if you had planned it.

Besides, when you have access to your money sooner, you save more since the money is in surplus and the bills haven’t accumulated.

So how does early direct deposit work? How come some banks offer it, and others don’t?

How Does Early Direct Deposit Work?

Ideally, payment is processed the same way for all types of accounts. Your company processes the payroll and sends it to the bank, stipulating how much each team member must earn and when. Please note that the process may differ from one country to another.   

Usually, traditional accounts wait until the date stipulated by the employer. On the other hand, early direct deposit allows payment to be accessed as soon as the payroll is sent to the bank. This waiting period is beneficial to banks. It’s called float. During this period, the bank double-checks your deposit before leasing it into your account. When the bank double-checks your account, it earns double the interest.   

While the interest earned may look insignificant for an individual account, in the long run, the bank mints a lot with the many paychecks they process for different companies. That’s why some banks are yet to embrace the early direct deposit even though it would benefit their customers.

Summary   

Most employees use a direct deposit account for their paychecks. That is because direct deposit processes payment faster by up to two days than traditional accounts.

However, some companies have upgraded their systems and have introduced early direct deposit. Early direct deposit processes your payment as soon as your employer releases the payroll. It’s something you should consider to help process your payment sooner. It’ll come in handy in offsetting bills sooner. Even the unplanned bills that occur sometimes.

Therefore, if you’re looking for a bank to open up your early direct deposit, consider the banks disused above. They are some of the best banks for early direct deposits in the market today.

Bank Bonuses Expiring Soon:

Enjoy financial incentives for opening a new checking account with current promos expiring soon:
 
Highest Offer
 
Pros:
  • reqs. to qualify
Pros:
  • reqs. to qualify
Pros:
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5.0
4.7
5.0
Pros:
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5.0
Highest Offer
Pros:
  • reqs. to qualify
4.7
Pros:
  • With direct deposit
5.0

About the author

Brian Meiggs
Brian Meiggs
Brian Meiggs is a personal finance expert, and the founder of My Millennial Guide, a personal finance site helping you put more money in your pocket. He helps millennials follow the smart money in order to increase their earning potential and start building wealth for the future. He regularly writes about side hustles, investing, and general personal finance topics aimed to help anyone earn more, pay off debt, and reach financial freedom. He has been quoted as a top personal finance blogger in major publications including Yahoo! Finance, NASDAQ, Discover, MSN Money and more.
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