Questions about Direct Deposit
| Basic Direct Deposit Questions | |
| What is Direct Deposit? | Direct Deposit is an electronic payment deposited directly to your checking or savings account. |
| How many people use Direct Deposit? | Three out of four working Americans who have Direct Deposit available for their pay use it. Ninety-seven percent (97%) of Direct Deposit users are very satisfied with it. |
Do I have to use a certain financial institution to participate in Direct Deposit? |
No. You may use any financial institution in the United States that is a member of the ACH Network. A very small number of financial institutions are not ACH Network members, so be sure to check with the financial institution of your choice to make sure it can accept your Direct Deposit. |
| What type of account do I need to use Direct Deposit? | Your money can be deposited into any account you specify, or even distributed among different accounts. |
| Can my pay be divided among different accounts? | With Direct Deposit, you may have the option of splitting the deposit. |
When can I withdraw money from payments deposited to my account? |
Your money should be available to you when your financial institution opens for business on payday. |
| What if my pay date falls on a holiday? | If your pay date falls on a holiday or other dates when financial institutions are closed, your money will be available on the day before your scheduled pay date. |
| How will I know when my payment has been deposited? | You will be issued a dated payment stub that is identical to what you receive with a paper check. This stub shows how much was deposited into your account, the date of the deposit and an itemized list of tax, insurance, and other deductions. |
| Where can I see deductionts and taxes withheld? | With direct deposit you will always receive a separate non-negotiable paper check which shows details of witholding, deductions etc. |
| How can I participate in direct deposit if I don't want the joint owner of my account to know how much money I make. | The best way to keep transactions confidential from a joint account holder is to open another single account. You may be able to split your deposits among multiple accounts. |
| What should I do if I change financial institutions? | You will need to provide your new account information to your employer. You may also need to complete a new authorization form. Be sure to leave the old account open until the first Direct Deposit transaction appears in your new account. |
| What if I want to cancel my Direct Deposit? | You will need to notify your employer by filling out a form stating you would like to stop your direct deposit. |
| Getting Started with Direct Deposit | |
| How do I sign up? | You will be provided with an authorization form to complete and return to your employer. Or you can click the form link here, fill it out online, print, sign it and send it to the address below: Attn: Payroll Department |
| Why did my employer ask for a voided check to sign up for Direct Deposit? | Merit Resources uses the financial institution identification number (also known as a routing transit number) as well as the account number that appear on checks to set up the Direct Deposit. The voided check is a way to make sure the information is correct. |
| Does Direct Deposit cost me any money? | No. Direct Deposit should not cost you anything. In fact, many financial institutions offer free checking to consumers using Direct Deposit. |
| Concerns about Direct Deposit | |
| Won't more people have access to my personal account information? | No. Once you sign up for Direct Deposit, the information that you provide simply becomes part of the transfer information read by computers. No one needs to know or refer back to that information. |
| Will my employer be able to take money out of my account? | No one can withdraw money from your account. |
| What happens if my payment goes into someone else's account? | While that's very unlikely, should an error occur, simply notify Merit Resources. |
| What should I do if I have a problem with Direct Deposit? | Problems with Direct Deposit are rare because payments are made electronically. If you do have a problem, you will need to contact Merit Resources. The problem can usually be corrected immediately. |
| How will I be able to keep track of the balance in my account? | You will be able to manage your balances just like you do today via your account statements, using automated phone systems, or online. |
| The amount of money I receive is confidential. With Direct Deposit, can I be sure my privacy is protected? | Yes. In fact, your privacy will increase when you use Direct Deposit. Once you have authorized the Direct Deposit, computers are processing the payments - not people. Multiple levels of security are in place to protect the payment as it passes electronically through the banking system. |
