Visa (NYSE: V) announced on Thursday it has teamed up with PayActiv to enable real-time access to earned wages disbursed. According to the duo, the demand for instant access to earned funds has now extended to traditional batch payroll and PayActiv’s partner businesses may now offer real-time deposit capabilities of earned funds to their employees by utilizing Visa Direct’s real-time push payments platform.
The companies also revealed that with the on-demand access to earn wages, eligible employees may unlock the benefits that real-time access to funds provide and participating employers can have a competitive advantage and incentive to attract and engage employees.
“By implementing Visa Direct, PayActiv is able to give users real-time access to PayActiv’s on-demand payroll program, and allows employers to quickly implement the solution, with little to no set-up costs.”
Speaking about the partnership, Cecilia Frew, SVP Global Commercialization of Visa Direct, stated:
“Visa Direct is helping to power a fundamental shift in how employees access wages they have already earned, outside of the traditional two-week payroll cycle. We are proud to be partnering with PayActiv to offer additional choice and flexibility to employers and employees when managing their financial well-being.”
Along with the partnership, PayActive also has a Visa Prepaid card, which offers real-time and recurring access to already earned, unpaid income. The timely access to these funds is intended to provide users liquidity and relief from unforeseen fees. These fees can reduce take-home pay by up to $200 every month. Safwan Shah, CEO of PayActiv, added:
“With financial stress our industry needed earning enlightenment. The PayActiv Visa Prepaid Card is exactly that – a game changer and a win-win solution. Employers can get better retention, recruitment and engagement and employees can get on a path of holistic financial wellness with timely access to their earned but unpaid wages.”