Treasury has kicked off a one-year countdown to get all federal benefit recipients who rely on paper Social Security checks each month, to switch to direct deposit. Treasury is faced with a March 1, 2013, deadline to get federal benefit recipients off paper checks and onto a number of paperless benefit delivery methods.
“If you’re applying for benefits for the first time at Social Security or other benefit agencies, you need to be prepared to sign up for direct deposit or direct express prepaid card,” said Walt Henderson, director of the Treasury Department’s EFT strategy division at the Financial Management Service, the office responsible for carrying out this transition to a new, paperless world. “That’s a requirement that’s already in place.”
Those who are already receiving paper checks for federal benefit payments have until March 1, 2013, to sign up for direct deposit or direct express.
Henderson joined The Federal Drive with Tom Temin Friday to discuss what other challenges his office faces and what other steps benefit recipients may need to take as Treasury transitions to paperless delivery.