I missed this one. Last week Trump ordered an end to Treasury issued paper checks as of September 30 of this year.
I think it's better than 95% of Social Security claimants who receive their benefits by direct deposit now but there are those who still need paper checks. One important group who still need paper checks are claimants who have lacked the funds to keep a bank account open while they wait months and years for their Social Security disability claims to be approved. They're only too happy to receive their payments by direct deposits once they have money to put in an account but not for that first check or two.
Yes, I know there are benefit cards but the fees on those are ridiculous. More important, most folks still have a bank account when they file their Social Security disability claim but later have to close the bank account because they're broke so they won't be set up for a benefit card.
We'll see how this plays out. In theory, they aren't supposed to be paper checks even now but circumstances on the ground don't match up with what armchair theorists think possible. A little leeway is needed.
10 comments:
Section 4 of the order you link should address this exact problem:
Sec. 4. Exceptions and Accommodations for the Phase Out of Paper Check Disbursements and Receipts. (a) The Secretary of the Treasury, shall review and, as appropriate, revise procedures for granting limited exceptions where electronic payment and collection methods are not feasible, including exceptions for:
(i) individuals who do not have access to banking services or electronic payment systems;
1:38 PM: "Should". You have an incredible amount of unwarranted faith in these idiots/terrorists.
This is good news. Forces old geezers to get with the times.
Have you heard the term ageism?
Do you have any idea of how many homeless have their money sent to a PO Box or their local Social Security office?
And isn't Social Security doing away with their relationship with Comerica Bank via the Direct Express program? Isn't a new version of that electronic banking service card coming out and being managed by Bank of New York Mellon?
Someone should probably follow the money and see what Bank of New York Mellon's tie is to Trump, Vance, Musk, Dudek, and Bisignano.
Imagine a future where grandma gets her Social Security through a Bitcoin wallet linked to a government-issued microchip in her arm—because obviously what retirees really need is crypto volatility and body implants. It’s efficient, transparent, and totally not dystopian—unless you’re worried about privacy, hacking, or explaining blockchain to someone who still writes checks at the grocery store.
The new Direct Express contract with Bank of New York was issued well before inauguration day, and there were news articles as early as last summer (months before the election) that Comerica had been told they weren't going to get the new contract. So as bad as Trump has been, I don't think this particular decision was a Trump administration conspiracy.
A lot of SSA beneficiaries had terrible experiences with Comerica, and SSA was often unable to help them much (at times, unable to even get in touch with Comerica). I have no idea if Bank of NY will be any better, but here's hoping.
The contract with Comerica was through the Treasury. SSA had no choice about it.
not everyone can get a bank account and paper checks are needed until an account can be opened
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