With Direct Deposit, can the employer take money out of my account or obtain confidential information about me through my financial institution?
No, consumers actually have more privacy with Direct Deposit. As many as 10 people handle your check from the time it is written by the employer until the funds are finally transferred to your financial institution. The amount of information provided on a check is astounding, including: consumer’s name and signature, date the check was written, to whom it was written, the dollar amount, consumer’s address, Social Security number and/or driver’s license number, telephone number, the date the consumer opened the account, and the financial institution’s identification and consumer’s account number. With electronic payments, the transaction passes electronically from the originating financial institution to the receiving financial institution. In between financial institutions, the information is protected by encryption, message authentication codes, and other security procedures. Please note: there is one exception to this answer. If a deposit was made in error, your employer reserves the
Related Questions
- With Direct Deposit, can the employer take money out of my account or obtain confidential information about me through my financial institution?
- How do I obtain payment information for a State issued check I received or a direct deposit to my account?
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