Recently I read two different articles recently on how fast food workers, McDonald’s in particular, are being paid by debit card instead of an actual paper check. It seems the reason they do this is because it is cheaper for the employer to do this rather than print checks. While for some this sounds like an awesome idea because they do not need to have a bank account or if they do then it saves a trip to the bank. For others, this is a complete nightmare.
These cards usually come with service charges. Some charges seem rather normal like card replacement charges but according to this article, Fast Food Workers Paid With Fee-Heavy Debit Cards some of the charges can be absorbent. There appear to be charges for general use, ATM withdrawal use and even inactivity. That’s crazy in my book, use the card and be charged, don’t use the card and be charged!
Looks like the government it taking a look into this as referenced here Debit Card Pay: Extra Fees or Money-Saving Opportunity? Since there’s been a lawsuit over this type of payment I guess I would want to know more about it too. With all the fees associated with this type of card those working hard at their minimum wage jobs are being robbed pennies at a time of wages that could be best spent elsewhere.
A friend of my daughter’s works for a Wendy’s here locally. She told me she was getting paid this way. I told her about this article and she said she’d look into it. As far as this 16 year old was concerned, she wasn’t getting charged any fees. Turns out she is and her mother is looking into it. I know I am glad to have the education and skill to be beyond this sort of a job. This is just wrong in my not so humble opinion.