Consumer bureau: Payroll cards can’t be required

The U.S. Consumer Financial Protection Bureau said Thursday that employers cannot require employees to receive wages on a payroll card.

Employers who offer payroll cards — which can come with fees — must also offer at least one other option, such as direct deposit or paper checks, CFPB said.

The independent federal agency, which was created by the 2010 Dodd-Frank financial reform law, issued the guidance after a July 11 letter from Sen. Richard Blumenthal and nine other senators asked it to investigate payroll card fees and practices.

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Senators’ July 11 letter to CFPB regarding payroll cards