The Square payment platform now offers users file their COVID-19 stimulus payments via its Cash application for faster and easier access to funds, in the event that someone does not have access to a traditional bank account. The app started showing users a pop-up explaining how to get the payment deposited without having to wait for a paper check in the mail, and a Square spokesperson said The edge that the company is trying to make its deposits more “accessible” by highlighting them.
Just like a bank account, you can get a routing and an account number directly via Cash App to receive deposits. Square released this feature in early 2018, allowing you to configure direct deposit to receive paychecks.
Many people do not have or cannot acquire a bank account, and the Cash App offers them a quick way to access deposits (physical stimulus checks are expected to take longer to arrive). You will need to register for a payment card to set up a routing and account number. Once done, you will need to submit your banking information to IRS. If you filed a federal income tax return in 2018 or 2019 or do not normally file a tax return, but still want the money to go to the Cash App, the company says the IRS will publish a tool on April 17 to update your direct deposit information with a new account.
Cash App competitors, like Venmo and its parent company PayPal, offer similar services, allowing you to use their platforms and make direct deposits with them without a bank account. As with the Cash Card, you will need to apply and be approved for a Venmo or a PayPal payment card to use these features.
People need help immediately. The technology exists to give money to most people today (even those without a bank account). Square and many of our peers can do it. US government: let’s help ourselves. https://t.co/mVrpOpbp0b
– jack (@jack) March 26, 2020
Square CEO Jack Dorsey tried to get his company involved in stimulus payments. Two weeks ago, Dorsey tweeted, “American Government: Help Us.” Today, he promoted the Cash App instructions to get direct deposit payments “without the need for a bank account”. Using the app can certainly speed up the process for those unable to access a bank account. Of course, this also helps Square, by sending new users to it and putting large sums of money on its platform. (Cash App saves on transaction costs for certain services it offers to both businesses and individuals.)
Last month, the United States Congress passed the Coronavirus Help, Rescue and Economic Security Act, a $ 2,000 billion stimulus package intended to provide financial relief to citizens in financial difficulty amid the new pandemic of coronavirus. Dunning checks are now being deposited directly into American citizens’ accounts, but this automatic deposit requires you to have made a certain amount of money in 2019 or to have filed a federal income tax return. For those who don’t fall into these categories, Square now offers Cash App as an alternative to getting your hands on money in a timely manner.