Fintech startup Revolut is launching a new feature called Payday. It is an alternative to credit card debt and short-term credit as it lets you unlock a portion of your wage early. If a business decides to integrate with Revolut, users can then access the feature from the financial super app directly, according to Techcrunch.
Right now, the feature is limited to businesses based in the U.K., but the company plans to launch it in the European Economic Area and the U.S. as well. That’s the trick — Payday isn’t going to be available to everyone who receive their salary in their Revolut account through direct deposit.
Revolut has to plug into an employer’s payroll system first so that the company knows how much employees are earning at any point in time. The fintech startup says that employers don’t have to change their payroll system, though.
Once this is done, employees can unlock a portion of their earned pay whenever they want. Users can withdraw up to 50% of what they’ve earned in advance. While the feature is free for businesses, Revolut will charge a small, flat fee to users.
Banking 4.0 – „how was the experience for you”
„So many people are coming here to Bucharest, people that I see and interact on linkedin and now I get the change to meet them in person. It was like being to the Football World Cup but this was the World Cup on linkedin in payments and open banking.”
Many more interesting quotes in the video below:
