The Social Security Administration (SSA) has announced it will be switching over from paper checks to electronic payment options by March 1, 2013. The switch to paperless—spearheaded by the United State Department of Treasury—will save the federal government money and reduce the amount of lost checks.
It costs the government 92 cents more to prepare and send a paper check than to electronically deposit the money into someone’s account. While many have already made the switch—cutting down paper checks from 11 million per month two years ago, to 5 million per month currently—this change will cut the 92-cent fee out altogether. According to the Treasury Department, it will save the government $1 billion over the next decade.
Every SSDI and SSI recipient currently receiving their Social Security disability payments through the mail are encouraged to change over to an electronic method of payment as soon as possible. Anyone who has not made the switch to the electronic system should call 800-333-1795 for help receiving their benefits electronically, or they can go online and sign up at www.godirect.org. The options for receiving payments include:
- Direct deposit to a bank or credit union account once a month
- Debit card payment to a Direct Express Debit MasterCard per month
For those who have not made the switch by March, their payments will not go missing. They will be contacted personally regarding setting up a direct deposit or debit card before their paper checks stop.
If you are receiving Social Security Disability in Philadelphia, don’t delay any longer in switching to an electronic payment.