- Your card must accept ACH direct deposits and have its own routing and account number.
- Benefit cards like Direct Express cannot receive loan deposits, and gift cards never can.
- Since 2019, federal rules treat overdraft credit on prepaid cards much like a credit card, with extra protections.
How prepaid card payday loans work
A payday loan "on a prepaid card" is an ordinary short-term loan that the lender sends by ACH to your prepaid card account instead of to a bank account. On your due date, the lender debits the same card for the amount borrowed plus its fee.
To do this, the card needs a routing number and an account number for direct deposit. Most reloadable general-purpose cards have them; many store and gift cards do not.
Which prepaid cards can receive a loan?
| Card type | Can it receive loan deposits? |
|---|---|
| Reloadable prepaid card with direct deposit (e.g., Netspend and similar programs) | Often yes, if the lender accepts prepaid accounts |
| Online bank "debit" accounts (e.g., Chime, Varo, Current) | Usually yes — these are deposit accounts, not prepaid cards |
| Direct Express® federal benefits card | No — only the paying agency can add funds |
| State unemployment or child-support cards | Usually no — check your card terms |
| Gift cards and non-reloadable cards | No |
Need $100–$1,000 before payday?
- One free request, many lenders
- Bad credit and benefit income considered by many lenders
- See the APR and total cost before you sign
PaydayEase is not a lender. Requests go to lenders in our network; approval, rates and terms are set by the lender. Rates & fees
How to check your card
- Look in the card's app or website for direct deposit or account details. If you see a routing and account number, the card can receive ACH deposits.
- Read the cardholder agreement for limits on who can deposit, and for fees on incoming deposits.
- Make sure the card is registered in your name. Unregistered cards often cannot receive direct deposits.
Under the CFPB’s prepaid accounts rule, if a prepaid card offers overdraft or credit features, they are generally treated as credit cards, with disclosure requirements and limits on fees. Payday loans from outside lenders are separate and follow state lending law.
What it costs
Lenders that accept prepaid cards charge the same kinds of fees as other payday lenders, often $10 to $30 per $100 borrowed. At $15 per $100, a two-week loan works out to an APR of about 391%. Add any card fees for loading or ATM withdrawals.
Safer alternatives
- Open a free or low-cost bank account. "Bank On" certified accounts have low minimums and no overdraft fees, and open up cheaper credit union loans.
- Payday alternative loans from federal credit unions are capped at 28% APR.
- Local help. Dial 211 for emergency assistance with bills, food and rent.
Need cash before payday?Send one free request to our lender network. We are not a lender; offers and rates come from lenders.
Request a loanFrequently asked questions
Can I get a payday loan with just a prepaid card?
Sometimes. You need a reloadable card registered in your name with its own routing and account number, plus a lender that accepts prepaid accounts. You will usually also need proof of income and ID.
Can a lender deposit to my Direct Express card?
No. Under the Direct Express terms, only the federal agency that pays your benefits can add funds to the card.
Are payday loans on prepaid cards more expensive?
The lender fees are similar, but fewer lenders accept prepaid cards, so you have less choice. Card fees can also add to the cost.