Treasury Issues Proposal to Deliver
Most Federal Payments Electronically
Safety-oriented plan would eliminate
paper checks, except for hardship cases
Although the Treasury proposal would require electronic payments in most cases, it
would allow people facing certain "hardships" to continue receiving paper checks
in the mail. As proposed, if you're a federal benefit recipient and you have an account at
a financial institution, you'd be expected to sign up for direct deposit of your payments.
If you don't have an account at a financial institution - and an estimated 10 million
benefit recipients don't - the Treasury would open a limited-purpose account at a
reasonable cost to you. However, if you have a physical disability or you face certain
financial hardships or geographic barriers, you could request a waiver and continue
receiving your benefit checks in the mail.
For more information about the proposal, contact the Treasury's Financial Management
Service, 401 14th Street, SW, Room 420, Washington, DC 20227, phone (202) 874-6590, or
read the plan on the Treasury's Internet site (www.fms.treas.gov/eft/).
If you wish to express your opinions on the proposal, written comments are due to the U.S.
Treasury Department by December 16, 1997. Final decisions about the costs and other
features of any new accounts are expected to be announced in the spring of 1998.