Here’s the current legal requirements for pay cards and how rapid! PayCard complies:
Cash Access
Legal Requirement – State Statute of Rhode Island:
Employees must be able to make at least one withdrawal from the pay card account each pay period without charge for up to the full amount of the employee’s net wages for the pay period.
Except that, employees paid more frequently than weekly must be able to make at least one withdrawal each week without charge for up to the full amount of net wages for that week.
R.I. Gen. Law § 281410.1 (f).
rapid! PayCard Program:
The rapid! PayCard provides numerous ways for employees to access their pay each pay period, including:
- Over the counter bank teller transactions at banks displaying the logo of the applicable payment brand (Visa® or MasterCard®)
- Electronic transfer to a bank account
- US Post Office Money Order
- ChekToday1 convenience checks
- ATM withdrawals at more than 55,000 locations in the Allpoint® ATM surcharge-free network
- Cash back with POS purchases using a PIN
- See your fee schedule for methods of accessing wages, including full net wages, in cash without cost.
Employer Costs and Incentives
Legal Requirement – State Statute of Rhode Island:
No provision expressly addressing employer costs or incentives in the pay card context.
rapid! PayCard Program:
rapid! PayCard does not offer cash incentives to employers, or pass employer costs onto their employees.
Convenience Checks
Legal Requirement – State Statute of Rhode Island:
State law does not authorize the use of convenience checks tied to a pay card account as a replacement for employer-issued paychecks.
rapid! PayCard Program:
rapid! PayCard offers ChekToday1 convenience checks which can be used by cardholders to access wages at Walmart stores with Money Centers free of charge. ChekToday also can be used at check cashing facilities or to make other direct payments.
Transaction Histories
Legal Requirement – State Statute of Rhode Island:
The pay card account must carry the consumer protections that apply to pay cards under Regulation E, including those relating to transaction histories.
R.I. Gen. Law § 281410.1 (e).
See federal requirements.
rapid! PayCard Program:
rapid! PayCard makes transaction information available to cardholders online, via the rapid!Access mobile application2 and over the telephone2. Transaction data can be printed from the cardholder website or upon request, rapid! will provide a written or e-mail transaction history.
Ability to Change Payment Method
Legal Requirement – State Statute of Rhode Island:
No express provision that addresses whether employees must be allowed to change the manner in which they receive their wages, but such a requirement could be inferred.
See federal requirements.
rapid! PayCard Program:
Employers who offer the rapid! PayCard are responsible for complying with applicable state and federal requirements regarding an employee’s ability to change payment methods.
1 This optional offer is not an issuing bank product or service nor does the issuing banks endorse this offer.
2 While rapid! PayCard does not charge for this feature and service, standard text messaging, data and cellular rates may apply. Please check with your cell phone carrier and inquire about fees your carrier may associate with these services.
The rapid! PayCard® MasterCard Card is issued by MetaBank®, Member FDIC, pursuant to a license by MasterCard International Incorporated. Prepaid card can be used wherever Debit MasterCard is accepted. MasterCard is a registered trademark of MasterCard International Incorporated.