Chime is a technology company known for offering high-quality banking services. Its operation is online, which may be one of the negative points for some customers.
One of its best features is direct and immediate deposits. It is a way to benefit both employees and employers.
What is the direct advance deposit?
It is a feature where you can acquire paychecks in advance; if the employer does the transactions properly, you can get your paycheck up to two days before the estimated payment date.
The feature is a way to allow you to access your money at the right time and without being subject to traditional banking policies that often delay payments. You can access the direct deposit settings when you create a Chime account.
How do I set up direct deposit?
You need to set up the direct deposit option to start receiving your advance payments. You have different ways to activate the feature, so you need to choose one of the following:
Through the Chime mobile app
Log in to your mobile app and go to “Move Money” click on “Move your direct deposit” this option is located at the top, and tap “Find Employer.” A small form appears to enter the name of your employer or payroll clerk. Again log in and click “Continue” to automatically set up a direct deposit.
Send by email
You need to log in to Move Money and go to “move your direct deposit” again. In the new window, click on “get completed form.” This option is to request an email copy of your account number, routing number, and voided check.
The form is for setting up direct deposit with your employer. However, it does not work for Child Tax Credit payments. For those benefits, you need to update your bank account information through the Child Tax Credit Update Portal.
Through Chime’s online website
Go to the Chime website and log in with your account. Once inside, click “transfer money” to get your Chime routing number and account number to give to your payroll provider.
You can click “print” or “download” to purchase the completed direct deposit form. Fill in all fields and take the form to your provider. You can also fill it out using a PDF editing application and email it to your employer.
How does direct deposit work?
Employers usually use it to transfer the salary to their employees and allow them to have their money on the corresponding date. But it is also a tool for tax refunds, retirement account payments, investment dividends, and other benefits such as Social Security or unemployment payments.
The way it works is simple: at least one or two days before the companies send the payroll to the financial institution they work with, the information is sent to the Automated Clearing House.
This institution is responsible for sorting the entries and ensuring that all instructions are considered to send the funds to the correct bank accounts and get the payments to the employees.
That way, your employer makes the payment before the pay date through a wire transfer, and it will be your bank, in this case, Chime, who must release the funds to your account.
How long does it take for the direct deposit to arrive after enrollment?
The goal is that you start receiving your money automatically on the corresponding date or a little earlier. From the moment you apply for affiliation, it can take between 1 and 2 payment cycles for it to be set up correctly and for you to start receiving payments that way.
That is, it will not be on the next payment after enrollment that you will receive the benefit. In the same way, this is usually indicated by your employer so that you can understand a little better how it works and be prepared.