What is the term for the automatic deposit of a paycheck into a bank account?

The term for the automatic deposit of a paycheck into a bank account is known as direct deposit. This process allows employers to transfer an employee's wages directly into their bank account, eliminating the need for physical checks. Direct deposit offers several advantages, such as ensuring timely access to funds, reducing the risk of lost or stolen checks, and simplifying the payroll process for employers.

While wire transfers, check deposits, and ACH transfers also relate to banking transactions, they serve different functions. Wire transfers typically involve sending money quickly from one bank account to another, often for larger transactions or urgent payments. Check deposits refer specifically to the process of depositing a physical check into a bank account. ACH transfers, or Automated Clearing House transfers, cover a broader range of electronic money transfers, including direct deposits, but the term direct deposit specifically identifies the payroll context. Thus, direct deposit is the most accurate term for the automatic paycheck deposit process.