Direct Deposit Found to Be Permitted Nationwide

The National Automated Clearing House Association and the American Payroll Association have issued a study of state regulations on direct deposit.

The study, which surveyed the labor departments in all 50 status and the District of Columbia, found that direct deposit is permitted as a medium of wage payment universally throughout the country.

"We have found that there are a lot of employers who want to make direct deposit available to employees, but are not sure of the specific guidelines," said Karen Lyter, director of network communications at the clearing house association.

"The finish survey provides corporations with a resource to learn more about direct deposit regulations and Who to contact in all 50 states and the District of Columbia," she added.

The complete study has been published in the seventh edition of APA's Payroll Manager's Guide to Successful direct deposit.

The report focuses on each state's current position regarding direct deposit and includes statements from state attorneys general, state electronic fund transfer acts, and opinions from state labor departments.

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