Treasury Department announces paperless payments goal
This Monday the Treasury Department announced that they would be switching from a paper-based system to a direct deposit system for federal benefit payments by 2013. The number of paper checks mailed by the Department of Veteran’s Affairs, the Social Security Administration, and other organizations that pay benefits will be reduced by over 135 million.
The Treasury Department also noted that they will no longer be purchasing paper savings bonds through payroll sales.
The government has attempted to set up a direct deposit system in the past but has always failed due to the lack of a debit card program for beneficiaries without bank accounts. The government will be establishing the Direct Express Debit MasterCard program to accommodate these enrollees, said Assistant Treasury Secretary Richard L. Gregg.
Officials estimate that around $400 million will be saved in the first five years of paperless payments.
If you or someone you love is not receiving the benefits that they should, or you want to discuss the legal ramifications of how you will receive your payments once the system becomes paperless, contact the Indiana long-term disability lawyers of the Hankey Law Office, at (800) 520-3633.