My workplace changed payment processors and they failed to process my paycheck. I have money in investments but they said it can take 3-5 days to get that money out. My mortgage automatic payment, and my electric and trash/water bill also went through. My boss seemingly unworried said he would have me paid Monday (today) which would’ve been fine, but when I didn’t get anything today he said “oh yeah it’ll just be added to your next paycheck” which isn’t until this coming Friday.
I don’t have any credit cards, I have nothing in my savings as I just used it with the intent I’d start throwing money from the paycheck I just missed into it. Now I have $5 in my bank account and I’m not getting paid until Friday. Sure it’ll be a big paycheck, but I need money for gas to be able to go to work tomorrow morning. I literally cannot wait for my investment cash out check to arrive in the mail.
Is there any other option than a payday loan? I know they’re awful but I would only want to take a few hundred to get gas and have a small buffer and pay it off this Friday, so there shouldn’t be too much of a fee. I also just listed several things I don’t need online for sale.
My paycheck this Friday will be roughly $4400, so is a let’s say $300 payday loan to get me through until then really that bad if I pay it off in full in 5 days? Is there any other, better options? I can’t stand debt, even having my mortgage keeps me up at night knowing how much money I owe the bank, so I’m not the type of person to abuse them. But if there’s a better option please let me know. I don’t want a credit card as I do think I’d be tempted to use it, hence me not having any credit cards whatsoever.
Paycheck failed to process, mortgage automatic payment processed, I have no immediate access to money and almost out
byu/RedditRaven2 inpersonalfinance
Posted by RedditRaven2
24 Comments
Don’t do a payday loan.
Payments float a few days, worst you get an overdraft.
Again do not take some high interest short duration loan.
>so is a let’s say $300 payday loan to get me through until then really that bad if I pay it off in full in 5 days?
If all you need is gas money why do you need $300?
That said, it probably is the least of evils if you don’t have anyone you can borrow money from.
> I don’t want a credit card as I do think I’d be tempted to use it, hence me not having any credit cards whatsoever.
Developing your self control will serve you well in more than just credit card usage.
But if you’re going to insist on eschewing credit cards then you can’t be running so lean than one missed paycheck topples the whole house of cards. You need considerable immediate-access money in an emergency fund, preferably a brick and mortar bank.
Avoid payday loans at all cost. Go donate plasma or pawn valuables before you get into payday loans.
As for dealing with your paycheck, go above your boss’ head if there is a level of management above him. Corporate (again, if such a thing exists) surely wouldn’t be pleased to learn he’s shifting payroll out of august. That’s a common earnings management scheme, likely meant to inflate your boss’ apparent performance for the sake of his bonus.
Again, avoid payday loans if at all possible. Literally anything else would be a better choice. That, and look for a new job. Either your boss is screwing you over for his sake, or your workplace is about to go under. Payroll doesn’t get missed in a business that’s working properly.
You should speak with your boss/HR asap about getting a check cut in advance.
If you were my personal friend who I knew in real life who had a history of being normal and not being scummy about money, I would just give you some cash no problem. Do you have anyone in your support network you can ask to spot you?
Once your check comes in please please please start yourself an emergency fund. This is literally a perfect example of why it’s so important to have one.
Can you get a personal loan from your bank? I would look into that first. A personal line of credit to give you a buffer until the payment comes in and then you pay it off and close it.
I would ask a friend or you could go ask your boss for money. Explain your situation and let him know you are cash poor due to the payroll fuckup. If he’s a good guy he will throw you some cash until payday. Obviously that depends on your workplace culture.
A $300 payday loan isn’t a big deal. They become a problem when you borrow what you can’t pay back.
Which doesn’t seem to be the case with you.
The moral of the story is that you are overthinking this. Definitely an annoying situation but there are a few solutions.
Pretty sure it’s illegal to miss payroll. Might want to mention that to your boss and tell him to deliver the check to your house at 8:00 tomorrow morning so you can buy gas to get to work tomorrow.
I’d use a credit card for the week and then pay it off when you get either check.
I’d also open up a savings account with the equivalent of one month’s bills so you have a backup in the future in case this happens again.
AFAIK it’s not legal for your employer to just “make it up” on the next paycheck. I’d be letting him know he’ll be responsible for 100% of any fees you incur dealing with the delayed pay.
For what it’s worth my company’s prior payment processor only managed to pay me via direct deposit once. Every other time they had issues (they’re the only one who’s ever had issues with my CU and our parent incubator company said I’m not the only one this processor has issues with). Without fail every time I didn’t get paid on Friday because they couldn’t get it through I had a *couriered* paper check from TX to CA the following Monday morning at my door. That had to be spendy but they did it. ZERO excuse for your employer to not cut you a check right now.
I would try to explain this to your boss/HR and ask them if they can “petty cash” advance you $100 or something. This is their error, and probably in violation of state law. This is embarrasing, but you can explain that you just made all your payments automatically, and the transfer out of savings will take 2-4 days.
Next up, I’d ask friends/family, explaining the situation and ask for $100.
Third, I’d look for stuff I could get rid of quickly for cash: Could you make $10 off of returning cans? That will get you 2-3 gallons of gas. Could you go and sell plasma? Around me as a new donor you could probably make $100-$200 this week. Check all your venmo/ paypal/cash app accounts to see if there is $5 or $50 there?
See if you can wire the funds from investment account. During business hours it’s usually same day. If you have to sell stock it takes a day for the funds to settle
Once you get this settled, make it a priority to get a credit card for these types of situations.
He can’t write you a check?
Sounds like he can’t pay you. Payroll should be able to cut you a check if your direct deposit didn’t go through properly.
It would be cheaper to pay a late fee for your bills than do a payday loan. Don’t get hooked into a payday loan scam. Worse case scenario use a credit card. It’s debt you’ll pay off in a few days. Stop running around like a chicken with your head cut off. Payday loans are debt with like a 32% interest rate.
There are those services like Dave the claim to spot you in a pinch — im not sure if that’s something you’d want to look into but it is something.
Others have given you advice about loans and asking for the check, so here’s other advice.
LPT – Unless/until you have at least 2 paychecks worth of money buffer in your checking account, do not use any kind of automatic payment unless it saves you money (like Verizon gives a $5 discount for autopay). A missed check will happen to all of us at least once. I’d never touch that 2 pay checks balance. In your case, if you get to $2,000 in checking, you’re effectively broke and can’t spend money.
I would quit investing until you have a liquid emergency fund. If you can’t put your hands on cold, hard, paper money during a business day, it’s not liquid enough.
Quit listening to Dave Ramsey and get a credit card or two. If your credit is bad, start with a secured card that is likely to be approved more easily. You only need to use it every 6 months for a tank of gas or loaf of bread, and pay it off right away, to keep it from closing.
surely your boss has a petty cash account and can give you at least some of the money he OWES you? Just to get you through the week? He made this problem and should step up and fix it.
It does not take a week to re-deposit payroll. As of 3 minutes ago (8PM EST), I could have paid one of my employees via dd TOMORROW. Something isn’t right with your employer and he needs to write you a hard check you can deposit tomorrow.
After you get through this crisis, you need to do 2 things:
1. Get a credit card to build your credit up and have for an emergency like this.
2. Always keep 1 paycheck’s worth of cash in a savings account at the same bank as your checking. That’s your overdraft protection and also it’s critical for you to ALWAYS have emergency funds available. Not 3-5 days away.
Honestly, I’d call in broke. Tell your boss that you spent your emergency fund last week on car repairs and now have no gas money because you weren’t paid on time. You aren’t able to report for work due to the company’s failure to pay you on time, and you’ll be there as soon as they rectify it. Then just stay put and eat the food you have in your house until Friday (or until they figure out how to get money into your account sooner).
Payday loans are even more usurious than credit card rates. Did your bank let the charges go through? Have you tried calling the and, letting them know what happened with respect to the change in processors and see if they’ll work with you to defer the fees if your account goes into the red? You might also ask them if they offer overdraft lines of credit for when things like this happen – one of the credit unions we were with years ago did that, and it was a great benefit to have even though we (thankfully) never had to use it.
Alternatively, can you work out a budget that will allow you to set aside money into a separate saving account until you have the same amount as your normal paycheck saved up, so that if this ever happens in the future you have money you can draw on to get the bills paid, then replenish when the check does come in?
you boss needs to do the right thing and cut you a check, today. claiming that “it will just be added to your next check”? is not acceptable. i’d email him (so you have it in writing) that you don’t feel comfortable waiting another week and need a check by end of day. full stop. i’d also think about filing a claim with your city/state labor department.
not for nothing, this is a serious red flag. are the company’s financials ok? did anyone get paid? seems very suspicious to me…
You might be able to open a credit card at a travel center truck stop that works immediately. Get your gas and a big pack of ramen noodles/ cans of tuna. Pay it off when you get your check and throw the card away and never use it again if you want.
Then take a look at your expenses and find a way to save up an emergency fund.
Start looking for a new job. This guy seems like a sleaze bag or an idiot. This might happen again.
Check “Dave” on the appstore. Use it just to get by and then delete it. I think that is your quickest option.
Open a credit card with a major bank of your choosing and you will get an temporary credit card number – use this to buy a few hundred in Visa electronic gift card and use that for some gas? Then only use the card for emergencies, or if you use just pay off in full every month you will build your credit.
Something like Dave would work for this situation. They conne tro your bank and offer small cash advances against your next deposit. You can de ide how much to borrow.