Is it Possible to Get Your Paycheck Early?

Unemployment claims in the United States are at an all-time high, and Americans are struggling to find sources of income to make ends meet. A potential source of funds that is becoming popular in the pandemic is payday advance loan apps. The applications allow you to get your paycheck early to pay bills and cover expenses. 

Market Watch reports that treatment for the novel coronavirus could cost as much as $20,000. But according to a 2019 Federal Reserve report, 40 percent of Americans don’t have enough savings to cover a $400 emergency. Suffice it to say, Americans need more money, and they’re turning to payday advance apps to bridge the gap. If you need to get your paycheck early to cover an expense, one of these apps could be the ideal solution.

How to Get Your Paycheck Early 

Payday advance loan apps allow employees early access to their pay. Usually, these apps will charge membership fees or require tips, but these expenses are still generally much lower than the cost of getting a loan from a traditional source, like a bank, according to Money Rates.

To get your paycheck early, there are a few simple steps to follow. First, research your payday advance app options to find which will work best for you. It’s worth noting that your employer may have a relationship with a specific payday app that you will need to use to access your funds. Different apps have different requirements, fees, and offerings, and each comes with its own pros and cons. For instance, some apps allow you to withdraw as much as $500 per pay period, while others limit that amount to less than half that amount.

Options for Paycheck Advance Apps

With more Americans needing funds immediately, it’s no surprise that the market has become flooded with payday advance apps. While this may make finding the right app more challenging, it also means there are more options and the likelihood that you will find one that meets your specific needs. Below are a few examples of payday advance loan apps that will allow you to get your paycheck early.

• Earnin

According to Earnin CEO Ram Palaniappan, when it comes to employee paychecks, “if they worked today, they should have access to their money today.” NerdWallet says Earnin is an ideal solution for those with small emergency expenses who work in a fixed location and are paid hourly or salaried. However, if you have a tendency to spend more than you earn, work from home independently, or are paid via a reloadable debit card, Earnin may not work for you. The app charges no fees, no interest, and allows you to access your paycheck quickly, but it may lead to poor financial habits, according to NerdWallet. Earnin, however, is the defendant in a class action lawsuit over its requirement that users of the platform pay a fee that it characterizes as a tip.

• CashNetUSA

Learn Bonds touts CashNetUSA as the most convenient payday advance app option for employees. Among its pros, this app lists its easy application process, has a variety of borrowing vehicles, and excellent customer service. However, CashNetUSA’s interest rate is high compared to other payday advance apps, according to Learn Bonds. It also follows state and federal laws “to the letter,” something that may sound like a positive but in practice may result in confusing terms and conditions and a variation in service from state to state.

• Brigit

Brigit is consistently cited as one of the best payday advance apps on the market. If you need to get your paycheck early, Brigit offers a direct connection to your bank account, allowing it to forecast your expenses and anticipate your needs. This app will automatically lend you funds to ensure that you don’t incur any overdraft fees. It also doesn’t charge APR or late fees and offers users payment date extensions. However, its customer service support may be less reliable, and users are charged a monthly fee.

What Are the Rules For Getting Your Paycheck Early?

In order to get your paycheck early, payday advance apps use a formula. “The apps predict how much and the timing of what you earn based on bank, location, and employer data,” according to Possible Finance. To access an advance payday app you will usually be required to connect your bank account through a registration process. Generally, you will need at least three months of bank records to qualify.

To get your paycheck early, you will need to pay the associated fees, membership, or interest rates. Many of these apps do not charge interest, opting for fees and tips instead. Some apps may ban users who are unable to repay their advances. However, getting banned doesn’t mean the app will stop trying to recover the funds you owe. Failing to repay an advance may result in significant fees, overdrafts, and financial headaches.

Join a Free Pay Advance App Class Action Lawsuit Investigation

If you use a wage advance loan app and have had a negative experience, you may qualify to join this wage advance loan app class action lawsuit investigation.

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This article is not legal advice. It is presented
for informational purposes only.