Question

Topic: Other

Employees That Cannot Get Payroll Direct Deposit.

Posted by Anonymous on 2750 Points
40% of american workers cannot get payroll direct deposit because they do not qualify for banking and must be given a paper check. The percentage of employees in this category is larger in the Hispanic communities. Therefore, these employees must pay a percentage to have their check cashed, and often pay another percentage to send money out of the US. Also, employers pay $3 to $9 per paper check, per payday, for paper check processing. There are ways, cost free to employers and employees, to correct this problem and little known about it. Does anyone know employers or employees that may have this problem? I'd like to know.
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RESPONSES

  • Posted by melissa on Accepted
    I have worked for a major restaurant chain and a major property management company (in the shopping center industry) who both faced these issues.

    They both mandated direct deposit for employees, and it caused problems.
  • Posted by michael on Accepted
    Landscaping companies

    Cleaning (home or office) companies

    I have an idea where you're going with this but you're making it more difficult than it is. Pick up the phone and start calling companies in the area. Ask if they have this problem. Then make your pitch for the solution.


    Michael
  • Posted by Mikee on Accepted
    Can't people go to a branch that the check is drawn on and cash it? I thought that this was still possible since the bank can verify funds.

    It seems that you need to identify what common traits people have that do not have bank accounts. Are you trying to target the employer or employee? Once you identify the inidividuals or the traits you can better identify the industries they work in and thus the employers.

    If you are going after the employees once you now some common traits you can come up with organizations that they may belong to (churches, community groups, clubs, etc). You can then apporach these with informaiton that can help their members. Perhaps many of these people have kids and school and can be reached through the schools.

    Mike
  • Posted by Jay Hamilton-Roth on Accepted
    (Aside: Some check cashing tips: https://www.aarp.org/money/credit_debt/a2002-10-04-CreditDebtFringeBanks.ht... and https://www.helpwithmybank.gov/faqs/banking_check_cashing.html)

    Why not contact churches in the communities you're interested in targeting, and offer to share your knowledge with their congregation (either in-person or an article in their monthly newsletter)?
  • Posted by CarolBlaha on Accepted
    Open your phone book and look under restaurants. You'd make a more than livable income covering this group. As someone who owned and managed more than a few grey hairs contributed-- this is a big deal.

    With so many people to choose from what I'd do is download from any list-- top restaurant franchise lists. I am a proponent of the "sell them once" but get multiple sales belief. Even though Pizza Hut has both company stores and franchise holders-- the successful franchise holders tend to have multiple stores. They build relationships with preferred partners, and this is a value they add to their package. It might as well be you. They have trade shows where they showcase their vendors and give vendor awards.

    As another suggested, cleaning services, hotels, the list goes on. But to create real sales, "sell them once" and get repeat and multiple sales, vs targeting "suzy's local subs"/. Don't get me wrong, Suzy will be a great client. But its a hard way to make a mortgage

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