A direct deposit authorization form is used by businesses in the payroll process. The form is completed by the employee who wants to have their paycheck direct deposited into their checking or savings account. The employee must provide either a canceled physical check that includes their name, address, routing number, and accounting number or they must write that information onto the form. Direct deposit is less expensive for employers and generally provides more benefits to each employee.
A direct deposit form is a document that authorizes a third party to send money to a bank account using an ABA routing number and bank account number. Â This is typically used by employers for payroll purposes. Some parties will require you to submit a voided check with this form to ensure that the account is valid.
Many companies utilize direct deposit. Â Benefits for employees include: being paid on time, not having to visit a bank, and simpler money management. Â Employers benefit from: reduced labor costs to process payroll, less chance of check fraud, no need to print paper checks.
To complete a direct deposit form, you will need to provide the following information:
You will also need to attach an image of a voided personal check (checking account) or a deposit slip (savings account).
