Payment platform Square is now suggesting users deposit their COVID-19 incentive payments through the Cash app for faster and easier access to the money, in case someone doesn’t have access to a traditional bank account. The app has started showing users a pop-up explaining how to get the payment deposited without waiting for a paper check by mail, and a Square spokesperson said The edge that the company is trying to make its deposits more “accessible” by emphasizing it.
As with a bank account, you can get a routing and account number directly through the Cash app to receive deposits. Square has released this feature back in early 2018 so you can make a direct deposit to receive pay slips.
Many people don’t have or can’t have a bank account, and the Cash app provides them with a quick way to access deposits (physical stimulus checks should take longer). You must sign up for a Cash Card to set up a routing and account number. Once you do that, you will need to submit your bank details to the IRS. If you filed a federal income tax return in 2018 or 2019 or if you don’t normally file a tax return, but still want the money to go to the Cash app, the company says the IRS will release a tool on April 17 to update your direct deposit details with a new account.
Cash App competitors such as Venmo and its parent company PayPal offer similar services so you can use their platforms and set up direct deposits with them without a bank account. As with the Cash Card, you must apply and be approved for one Venmo card or a PayPal Cash Card to use these features.
People need help immediately. The technology is there to get money for most people these days (even those without bank accounts). Square and many of our colleagues can get it done. US government: let us help. https://t.co/mVrpOpbp0b
– jack (@jack) March 26, 2020
Square CEO Jack Dorsey has attempted to involve his company in making stimulus payments. Two weeks ago, Dorsey tweeted, “United States Government: Let Us Help.” Today, he promoted Cash App’s instructions for receiving direct deposits without “no bank account required”. Using the app can certainly speed up the process for people who don’t have access to a bank account. Of course, it also helps Square send new users and deposit large sums of money on their platform. (Cash app makes money from transaction fees for certain services it offers stops businesses and individuals alike.)
Last month, the United States Congress approved the Coronavirus Aid, Relief, and Economic Security Act, a $ 2 trillion stimulus package designed to provide financial support to citizens who are struggling financially during the new corona virus pandemic. Incentive checks are now deposited directly into the accounts of U.S. citizens, but for that automatic deposit you must have earned a certain amount in 2019 or filed a federal tax return. For those who don’t fall into those categories, Square now offers the Cash app as an alternative to getting the money in your hands on time.