DasherDirect is a prepaid debit card offered by DoorDash. It’s a fairly new offering from DoorDash, allowing eligible Dashers to sign up for a DasherDirect card and have their DoorDash earnings immediately deposited onto their card at the end of each Dash for free.
So what exactly is DasherDirect? It’s a prepaid debit card that’s similar to a bank account. Funds on your card are held in an FDIC-insured bank and you can use the DasherDirect card to store and transfer money. For practical purposes, it’s basically a bank account.
When I first learned about the DasherDirect card, I was skeptical. DoorDash is known for doing things to squeeze out more money from their Dashers and I’ve always been against using services from DoorDash like Fast Pay, which charges you money just to get access to your own money. But with DasherDirect, DoorDash has created a service that can be useful for some people, and importantly, doesn’t come with fees.
In this post, we’ll take a look at what the DasherDirect card is and how it works. We’ll also look at why I don’t use it, but why I wouldn’t be against you using it either if it makes sense for you.
What Is The DasherDirect Card?
As noted in the introduction of this post, the DasherDirect card is a prepaid debit card offered by DoorDash. It’s only available to Dashers, so you’ll have to sign up for DoorDash first to be able to get this card.
It’s important to note that a prepaid debit card isn’t exactly a bank, but for practical purposes, it’s basically a bank account. Funds on your DasherDirect card are held in an FDIC-insured bank (Stride Bank), so your funds are secure.
Using your DasherDirect card is simple – you use it just like any other debit card. To get started, you’ll first need to put funds on your card. The easiest way to do that is to have your DoorDash earnings deposited onto your DasherDirect card. You can also transfer money to the card from a regular bank account or deposit cash to your card at participating merchants.
So why would you want a DasherDirect card? I see two main reasons why you’d want to use it. The biggest benefit is that if you have it, you’ll receive your DoorDash earnings immediately onto your card at the end of each Dash with no fees. If you’re someone that uses Fast Pay, getting the DasherDirect card makes a lot of sense. Instead of paying the Fast Pay fees, you can get your DoorDash earnings on the same day with no fees.
In addition to free immediate cashouts, the other interesting benefit is that the DasherDirect card gives you 2% cash back on gas purchases made at eligible gas stations. You can find the list of eligible gas stations in your Dasher app. If you have a car and buy gas, it can make a lot of sense to use this card for all of your gas purchases, especially if the qualifying gas stations are near you.
Importantly the DasherDirect card has no monthly fees or minimum balance requirements, so there’s not a lot of downside to getting the card and trying it out. There’s also no impact on your credit score if you get the card, so again, there’s not much downside to getting it.
How To Get The DasherDirect Card
To apply for the DasherDirect card, open your Dasher app, then go to the “Earnings” tab. That’ll bring you to your earnings screen. In the middle of the screen, you’ll see a button to sign up for the DasherDirect Prepaid Account.
On the next screen, you’ll apply for the DasherDirect card. It’s straightforward and should only take you a few minutes.
Note that you will have to provide personal information such as your ID and social security number. This is standard when you’re applying for any banking or prepaid card product. If you aren’t comfortable providing this information, then you won’t be able to get the DasherDirect card.
Once you’ve gone through the sign-up process, you’ll receive a message telling you whether you were approved or not (most people will get approved without issue). You’ll then receive your card in the mail within a few business days. Once you receive the card, you’ll be able to activate it in the Dasher app.
Note that when your account is approved, you’ll have the option of switching your payouts immediately to a virtual card or waiting until your physical card arrives. I personally would wait for the physical card, but there’s no issue with using the virtual card immediately also.
Why I Don’t Use The DasherDirect Card – But Why I’m Not Against It Either
When I first heard about the DasherDirect card, I assumed it was another scheme by DoorDash to get more money out of their Dashers. I’ve been pleasantly surprised though with the DasherDirect product. From what I can tell, it’s actually a fine product and I don’t have a lot of issues with it.
For people that enjoy getting their DoorDash payouts daily, the DasherDirect card makes a lot of sense. Indeed, it seems to make Fast Pay obsolete. After all, why would you pay for Fast Pay when you can get your earnings immediately for free with DasherDirect?
That being said, I don’t personally use DasherDirect. My main reason is that I already have a good system in place for my DoorDash and other gig economy earnings. I use a free fintech banking app called Lili, which I enjoy because it has a good app, automatically sets aside money for taxes, and has no fees or minimum balance requirements (here is a full Lili review post I wrote, if you’re interested in learning more about Lili).
Using DasherDirect would make my system a bit more complicated, as I’d have another financial account I’d have to manage. Weekly DoorDash payouts work out fine for me, so I don’t need the daily cashout benefits of the DasherDirect card. I also do all of my deliveries on an ebike or electric scooter, so the gas benefit isn’t particularly useful for me either.
In short, I’m not against the DasherDirect card and I’m pleasantly surprised that DoorDash made a product that seems actually to benefit its Dashers. If you are willing to change up your banking system, then I think using the DasherDirect card is a good option.
Things To Know About The DasherDirect Card
There are a few random things quirks with the DasherDirect card, so I figured I’d include them in this section. Here are a few things to know:
1. You Can’t Use FastPay If You Have Your Earnings Deposited To Your DasherDirect Card
You can’t use Fast Pay if you’re using the DasherDirect card. And if you’re using Fast Pay, you can’t use the DasherDirect card. DoorDash makes this clear on their FAQ page.
Of course, this makes logical sense. There’s no reason you would use Fast Pay if you have DasherDirect since you’d already get free daily cashouts anyway. If for some reason you wanted to use Fast Pay (which I wouldn’t recommend), you’d have to switch your payout method to your regular bank account.
2. You Can Switch Between The DasherDirect Card And Your Regular Bank Account
If you sign up for the DasherDirect card and decide it’s not for you, you’re not stuck. You don’t have to use it or have your earnings deposited onto the card. Instead, if you don’t want to use DasherDirect, you can switch your payout method to your regular bank account. This will remove the daily payouts, so you’ll have to get your payouts either weekly or via Fast Pay (for a fee).
The main takeaway is that you can try DasherDirect and if you decide it’s not for you, switch back to having your earnings deposited to your regular bank account.
3. The DasherDirect Card Is Not The Same As The DoorDash Red Card
Some people get confused about this, but it’s important to understand that the DoorDash Red Card and the DasherDirect card are not the same things.
The DoorDash Red Card is a debit card from DoorDash that you use to pay for orders that aren’t prepaid. This is a product for DoorDash, not for you. It’s only used for paying for DoorDash orders.
The DoorDashDirect card, by contrast, is a prepaid debit card that you use for your own purchases. Your money goes on the card. You don’t use this card for DoorDash purchases – it’s for your own personal use.
The DasherDirect card is a surprisingly good product offered by DoorDash. It’s a prepaid debit card that comes with no fees or minimum balance requirements and has some good benefits too (namely free daily cashouts and 2% cash back on gas).
If I didn’t already have a good system in place, I’d definitely consider using the DasherDirect card. But since I’ve already got a system that works for me, I’ve opted not to use it. But if others wanted to use it, I wouldn’t have any issues with it.