Here are some things to take note of about direct deposit:
- You must approve pay cheques that are being paid through direct deposit by at least 5 pm PST, two banking days before the pay date.
- It can take up to three days to complete the Risk Analysis after initial set up.
- Double check that all account numbers and information are correct. Incorrect information can cause a delay or result in funds not being sent to an employee.
- A best practice is to begin direct deposit set up the day after running a payroll with paper cheques to ensure you are not in a ‘Pending’ state when it’s time to run your next payroll. Direct deposit set up and verification can sometimes take up to a week.
- The Principal Officer is the owner of the bank account being set up for direct deposit.
- Email communications for direct deposit will be sent to the Master Administrator (MMA) on file, but the AML/OFAC email and the verify bank account email will go to both the Principal Officer (bank owner) & the MMA.
- Most companies will receive an AML/OFAC email from email@example.com requesting proof of identification and more info. The Principal Officer must respond to this email with the appropriate documentation prior to using direct deposit and it can take up to two business days to approve once the ID is submitted.
|Note: Review the direct deposit processing timeline for information on how long the direct deposit process will take once you've submitted payroll.|