Shares of Square (NYSE: SQ) climbed 7% on Tuesday after the fintech leader announced new instant payment services for its payroll customers.
Square's new On-Demand Pay service will allow its customers' employees to transfer up to $200 of their earned wages each pay period -- ahead of their normal paycheck -- to Cash App for free, or to a linked debit card for a small fee.
"Because businesses still run payroll on a fixed schedule, employees are paid days or weeks after they've worked," Square Payroll General Manager Caroline Hollis said in a press release. "We created On-Demand Pay for employees so they can access their earnings when they need them, as soon as their shift has ended."
Source Fool.com