WhiteSight

Payroll FinTechs: Financial Wellness for Employees

Table of Contents

FinTechs, in their quest to go after underserved segments, are going after a significant niche customer base: The Salaried Employees. Salaried employees, especially the ones with poor credit history and in need of quick-cash have relied upon the payday lenders for decades. With new regulatory interventions and consumer awareness, the payday lending industry is on its wane. A new breed of fintech startups has sprung across the world to fill this #whitespace.4 broad categories can be observed in this segment:⏱ Salary On-demand – This is a fast emerging category. Fintechs in this category are partnering with corporates, HR software providers and payroll systems to enable flexible access to earned wagesSalary Advance – Fintechs in this category provide short-term credit to employees based on their salary and avoid the exorbitant rates charged by erstwhile payday lendersEarly Direct Deposit – A prominent feature largely provided by new-age banks in the US and the UK, enables account holders to receive paychecks up to 2 days in advance from standard payday.Crypto Payroll – This is the newest category which enables firms to make wage payments through multiple crypto-currencies.With financial wellness gaining precedence across organisations, these fintechs are well-poised to serve a generation of a […]

This post is only available to members.

Already a subscriber? Log in to Access

Unlock this blog

Gain exclusive access to this blog alone.

Radar Subscription

Select a membership plan that resonates with your
goals and aspirations.

Not Ready to Subscribe?

Experience a taste of our expert research with a complimentary guest account.

We publish new research regularly. Subscribe to stay updated.
No spam. Only the best in class fintech analysis.



    Related Posts
    Infographic design illustrating the timeline of UPI's global expansion, highlighting key milestones, partnerships, and the growing number of countries adopting India's Unified Payments Interface.
    Complimentary Research
    Infographic design illustrating the intersection of telecom and finance companies, featuring brands like Revolut, T-Mobile, Safaricom, and others.
    Complimentary Research
    A tablet screen displaying a presentation titled "Magalu: Brazil's 'FinTail' Playbook." The presentation outlines Magalu's ecosystem, which includes various companies involved in e-commerce, technology, and financial services.
    Complimentary Research
    Infographic design showing Venn diagram of Affirm in the middle, and the B2B platforms it serves on the left vs the B2C platforms on the right.
    Complimentary Research
    Infographic design showcasing the many Banking-as-a-Service (BaaS) moves by both incumbent banks and digital-first banks - from in-house initiatives, acquisitions, partnerships, and more.
    Complimentary Research
    Infographic design showing the many market moves focused on propelling open banking in Saudi Arabia across a timeline from 2022-2024.
    Complimentary Research
    Select currency
    WS_Logo_-for-White-BG-01.png