Washington (AP) – US government begins phased out Paper check For most programs on Tuesday.
The change, which was launched through an executive order signed by President Donald Trump in March, was social securitysupplementary security income and tax refunds.
Trump’s Republican administration argues that the move to electronic methods of all payments and collections is designed to protect taxpayers from fraud and stolen checks, accelerate processing and reduce costs. But advocates fear that Shift lacks access to digital services and hurt marginalized Americans who may not even know this phase-out.
“We are pleased to announce that Jennifer Burdick, Divisional Supervisory Attorney for the SSI Unit at Philadelphia Community Legal Services,” said: “And the people who represent those who receive paper checks have learned very little from me about this transition.”
Approximately 10% of Bulldick clients receive a paper check. She worries that new recipients who need a paper check to open a checking account in their banks will be difficult or even nearly impossible to accomplish after phased out.
Almost 400,000 Social Security and SSI recipients They receive their benefits through paper checks. That’s under 1% 70.6 million Retired people, disabled people, children receiving Social Security benefits.
Instead of paper checks, they will receive direct deposits or direct fast cards targeting people without bank accounts. However, the Social Security Administration says it will issue a paper check even if other options are not available.
“We will continue to issue paper checks if the beneficiary does not have any other means of receiving payments,” SSA says.
Kathleen Romigg, director of Social Security and Disability Policy on Budget and Policy Priorities, notes that those most affected by the change are the most vulnerable, “often unbanked or barren, and lack the tools and skills needed to access digital services.” There’s a reason they haven’t made the switch yet. Some people are wary of financial institutions, while others don’t have enough money to open a bank account.
“This is a population that cannot afford to miss out on payments, so it’s very important for the Trump administration to manage the transition without interrupting profits,” Romigg said.
Nancy Altman, president of Social Security Works, an advocacy group for the preservation of social security benefits, calls for the phasing of paper checks unnecessary.
“If it’s not handled correctly, it’s going to be devastating for people who don’t know the change and have limited incomes,” Altman said. “I think everyone should be able to get a paper check, and under 1% are checking, but that’s still a lot of people.”
