No More Paper Checks for Disability Recipients

Currently, Social Security recipients can receive their benefits either by direct deposit or paper check. But there is a change coming in the near future that you should be aware of.

If you apply for Social Security disability benefits on or after March 1, 2011 you will be required to sign up for direct deposit or the Direct Express MasterCard.

If you are already receiving benefits before March 1, 2011, you will have until March 1, 2013 to sign up for direct deposit. If you do nothing, you will be automatically enrolled in the Direct Express program.

If you think you want to sign up for the Direct Express card, be sure to read their frequently asked questions, and familiarize yourself with the fees you might be charged for using the card.

One of the main drawbacks to the Direct Express card is that it does not automatically send you a statement of your deposits and withdrawals like a bank does. This can make it difficult to keep track of your spending and deposits.

You can request that Direct Express send you a monthly paper statement, but there is a monthly fee, and you have to call them to sign up for this service. You can also go online if you have computer access and check your transaction history.

If you sign up for Direct Express, we recommend that you either sign up for the monthly statement or be sure to check your account transactions on a monthly basis on their website.

There is also some legitimate concern about the safety of the card.

This blog is a public resource for general information. This blog and the materials provided in it have been prepared by Spencer Law Firm for informational purposes only and are not legal advice. No client or other reader should rely on, act on or refrain from acting based on information contained in this website without seeking appropriate legal or other professional advice.