Revolut Intros Payday Early Wage Access For UK 

Revolut is partnering with employers in the U.K. to offer early wage access to their employees with the FinTech’s latest financial services product: Payday.

Payday enables employees to draw down a portion of their wages as they earn them and instantly transfer the funds into their accounts, Revolut said in a press release on Thursday (Aug. 19).

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“We believe in the importance of making financial wellbeing accessible to all, and this includes focusing on the impact of financial stability on employees’ mental health,” said Revolut founder and CEO Nik Storonsky.

He added that the past year has been tough on so many people and “the last thing employees need now” is further uncertainty about their finances. 

“It is important to move away from a situation where many are dependent on payday loans and expensive short-term credit, a reliance that is exacerbated by the monthly pay cycle,” Storonsky said.

The Payday tool enables people to see how much money they have accrued in earnings and withdraw it to their main account as a way to stay on top of bills and avoid debt, according to the release.

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Revolut’s platform and app integrates with a company’s payroll network and has no impact on employees’ credit score when they use the Payday tool to draw against earned wages. Payday aims to be an easy-to-use solution between salary advance and other services available on Revolut’s app. 

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The new tool doesn’t cost anything for companies to integrate and their cash flow won’t be affected — employers will still pay their employees at the end of each month. The tool is also intended to help boost employee satisfaction, financial wellbeing and reduce turnover.

Launched in 2015 in London, Revolut initially offered money transfers and exchanges. The startup now has dozens of products, over 16 million customers worldwide, and processes more than 150 million transactions a month.