DailyPay
| Company type | Private |
|---|---|
| Industry | Financial technology |
| Founded | 2015 |
| Headquarters | United States |
| Products | Payroll solutions, on-demand payment services, earned wage access |
| Website | dailypay |
DailyPay is a U.S.-based technology firm established in 2015 that specializes in payroll solutions, including on-demand payment services. The company imposes fees up to $3.49 for users seeking immediate access to as much as 100% of their earned but unpaid wages.
History
Founded in 2015, DailyPay offers a platform that allows employers and payroll providers to grant employees early access to their earnings. Its primary focus is on businesses employing low-income workers who often rely on each paycheck to meet expenses. Workers can access their wages one or more days before the scheduled payday without incurring charges or opt to pay a nominal fee (currently $2.99 as of 2024) for instant withdrawal. While some funds remain locked until the official payday, DailyPay provides a prepaid Visa debit card enabling full wage availability without fees, contingent upon users rerouting their direct deposits through DailyPay. Additionally, the system permits employees to monitor their accrued wages via their employer.
In September 2016, DailyPay secured $5 million during its Series A funding round, followed by a $9 million Series B investment in February 2018. That same year, human resources firm ADP integrated DailyPay’s early wage access service into its offerings for clients.
By the year 2020, DailyPay had grown to serve around 500,000 active users and established collaborations with companies such as Burger King, Uber, DoorDash, and Shiftgig. In 2021, the organization earned an honorable mention in the "World Changing Ideas Awards" presented by Fast Company.
Lawsuits
On April 14, 2025, New York Attorney General Letitia James initiated legal action against DailyPay, accusing the company of engaging in exploitative payday lending practices. The complaint alleges violations of New York’s usury statutes and wage assignment regulations due to excessive fees for early wage withdrawals, resulting in effective interest rates surpassing 750%.