Company:DailyPay
| Type | Private |
|---|---|
| Industry | |
| Founded | 2015 |
| Founder |
|
| Headquarters | New York, NY, U.S.A. |
Key people | Kevin Coop (CEO) Stacy Greiner (COO) |
| Services | Earned wage access |
Number of employees | 800 (2020[1]) |
| Website | www |
DailyPay is an American financial services company founded in 2015, which provides payroll services such as earned wage access.[2] DailyPay charges up to $3.49 for users to receive 100% of their earned but unpaid income. This fee has been compared to traditional payday lending which has prompted regulatory scrutiny.[3]
History
DailyPay was founded in 2015 by Jason Lee and Rob Law.[4] The company allows other organizations and payroll providers to offer early access wages to employees.[5] The service is often used by companies with low-wage employees, who work paycheck-to-paycheck.[6][7]
Employees who use the service are charged a fee to withdraw their wages, if done so by withdrawing instantly.[8] The service also allows users to check their balances and track earned wages through their employers.[citation needed]
In September 2016, the company raised $5 million in financing during its Series A Round.[9][10] In February 2018, the company raised $9 million in Series B funding.[11]
In 2018, human resources company ADP announced that it would be offering early wage access to its clients through DailyPay.[12]
As of 2020, the company had roughly 500,000 active users, and had partnered with companies such as Burger King, Uber, DoorDash and Shiftgig.[13][14]
In 2021, the company received an honorable mention on Fast Company's "World Changing Ideas Awards".[15]
References
- ↑ "Championing Diversity in FinTech: NYC Based DailyPay". 21 June 2020. https://patch.com/new-york/new-york-city/championing-diversity-fintech-jason-lee-dailypay.
- ↑ Kauflin, Jeff. "VCs Bet $40 Million On Money App For Those Living Paycheck To Paycheck" (in en). https://www.forbes.com/sites/jeffkauflin/2018/07/19/payday-loans-be-gone-a-growing-set-of-startups-are-gunning-to-unseat-them/.
- ↑ Bernard, Tara Siegel (2020-10-02). "Apps Will Get You Paid Early, for a Price" (in en-US). The New York Times. ISSN 0362-4331. https://www.nytimes.com/2020/10/02/your-money/cash-advance-apps-paychecks.html.
- ↑ "FinTech profile: DailyPay, the payroll game-changer | Venture Capital" (in en). https://www.fintechmagazine.com/venture-capital/fintech-profile-dailypay-payroll-game-changer.
- ↑ Harrison, Polly Jean (2021-01-12). "DailyPay: What The Recent CFPB Compliance Regulations Means for Earned Wage Access" (in en-GB). https://thefintechtimes.com/dailypay-what-the-recent-cfpb-compliance-regulations-means-for-earned-wage-access/.
- ↑ Sheng, Ellen (2020-03-30). "Companies offer cash-strapped employees daily pay cards and other flex-pay options as a lifeline" (in en). https://www.cnbc.com/2020/03/30/companies-offer-cash-strapped-employees-daily-pay-cards-as-a-lifeline.html.
- ↑ "Do paycheck advance apps improve financial health?" (in en). 2019-03-11. https://www.americanbanker.com/news/do-paycheck-advance-apps-improve-financial-health.
- ↑ Bernard, Tara Siegel (2020-10-02). "Apps Will Get You Paid Early, for a Price" (in en-US). The New York Times. ISSN 0362-4331. https://www.nytimes.com/2020/10/02/your-money/cash-advance-apps-paychecks.html.
- ↑ "Funding Snapshot: DailyPay Raises $5M Series A to Provide Daily Payments to Workers" (in en-US). Wall Street Journal. 2016-09-07. ISSN 0099-9660. https://www.wsj.com/articles/funding-snapshot-dailypay-raises-5m-series-a-to-provide-daily-payments-to-workers-1473265232.
- ↑ Noto, Anthony (September 9, 2016). "This week in N.Y.C. funding news: Cheddar, Away, DailyPay". https://www.bizjournals.com/newyork/news/2016/09/09/this-week-in-n-y-c-funding-news-cheddar-away.html.
- ↑ "DailyPay Just Raised $9M To Provide Flexibility For When You Want to Get Paid" (in en-US). 2018-02-21. https://www.alleywatch.com/2018/02/dailypay-just-raised-9m-provide-flexibility-want-get-paid/.
- ↑ "Payroll Quietly Easing Into Trend of Quick-Pay Programs" (in en). https://news.bloombergtax.com/payroll/payroll-quietly-easing-into-trend-of-quick-pay-programs.
- ↑ Johnston, Katie (February 10, 2020). "Apps let workers access wages instantly, but at what cost?" (in en-US). https://www.bostonglobe.com/2020/02/10/business/apps-let-workers-access-wages-instantly-what-cost/.
- ↑ Mann, Sonya (2017-09-14). "This Startup Is an ATM for the Money You Haven't Been Paid Yet" (in en). https://www.inc.com/sonya-mann/dailypay-financial-insecurity.html.
- ↑ "World Changing Ideas Awards 2021: On The Rise (0–4 Years In Business) Finalists and Honorable Mentions" (in en-US). 2021-05-04. https://www.fastcompany.com/90614743/world-changing-ideas-awards-2021-on-the-rise-0-4-years-in-business-finalists-and-honorable-mentions.
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