Direct deposit eliminates the headaches of waiting for a check by mail and running to the bank to deposit it. Direct deposits often post to your account just after midnight or at least by the start of the banking day, so that funds are available immediately. Setting up direct deposit is a matter of providing bank information to the depositor. This usually requires filling out a simple form.
Get a direct deposit authorization form from the payor. Most employers or 1099 clients have forms available. When you join a corporation, the direct deposit form is typically included in your new hire packet.
Specify that you want the funds to go to your checking account by placing an "X" in the appropriate box.
Print your bank's routing number, or ABA number, where requested. This number is the first number that appears at the bottom of your personal check. It is typically nine digits and is an identifying number for the financial institution.
Fill in your checking account number where requested. The account number follows the routing number at the bottom of the check. The number of digits depends on your bank's policies and practices.
Sign and date the form. The bank needs your signature as authorization to complete the request.
- Some companies or banks require that you attach a voided check or deposit slip to the authorization form.
- On some authorization forms, you can list two accounts and specify what percentage of each check should flow into each account.
- Some forms require name and address data in addition to bank account information.
D. Laverne O'Neal, an Ivy League graduate, published her first article in 1997. A former theater, dance and music critic for such publications as the "Oakland Tribune" and Gannett Newspapers, she started her Web-writing career during the dot-com heyday. O'Neal also translates and edits French and Spanish. Her strongest interests are the performing arts, design, food, health, personal finance and personal growth.