Federal Government To Stop Issuing Paper Checks By 2013.

[Obama 2012 1,714]

two things interesting.

#1 being they'll give you a debit mastercard if you don't want them to have your bank info/you can't get a bank account.

#2 being - WHAT THE HELL? 136 million checks go out every month?!?!?! Way too many people are depending on government income..... WOW.

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http://www.wfaa.com/news/politics/Federal-government-to-phase-out-pap-96298779.html

DALLAS - The U.S. Department of the Treasury has announced that paper checks will be a thing of the past in a little less than two years.

To save money, the federal government will go paperless, phasing out paper checks by 2013 for those receiving Social Security, Supplemental Security Income, veterans, railroad retirement and federal civil servant retirement benefits.

Those receiving monthly government checks will get their federal benefit payments deposited electronically starting March of 2013. The system will kick in immediately for those signing up for benefits starting March of 2011. Currently, 85 percent enrolled to receive such benefits are already receiving their payments electronically.

By going paperless, the government says taxpayers will save about $300 million in the first five years. By not sending out the 136 million checks, the federal government will immediately save $48 million in postage.

For those not comfortable handing over their bank account information to the government or those without a bank account, deposits from the U.S. Treasury can go to a Direct Express Debit MasterCard.

[TBoneTX 45,304]

And, a #3: How will the Postal Service make up for the $48 million in losses when the checks are no longer being mailed?

[mawilson 2,133]

#2 being - WHAT THE HELL? 136 million checks go out every month?!?!?! Way too many people are depending on government income..... WOW.

60 million people receive their Social Security checks every month, which is hardly a handout.

The other 76 million? No idea.

[Darnell 8,478]

Yay ! Save some trees ! errr. time to build more paper-imbued building materials.. Go Green !! (or something)

(sorry, I was just being silly)

IMO, this is about 10 years overdue. Government moves slowly with applying new technologies. I guess in this case, a lot can be said for 'waiting until the cost of technology was demonstrably low'.

Edited June 14, 2010 by Darnell

[JohnSmith2007 353]

60 million people receive their Social Security checks every month, which is hardly a handout.

The other 76 million? No idea.

Most people on SS ( at least the ones that I know) already have direct deposit. So I doubt if 60 million people get their SS via check now.

[Ban Hammer 13,343]

60 million people receive their Social Security checks every month, which is hardly a handout.

The other 76 million? No idea.

i'm one - retirement check - but it's electronically deposited.

[SMR 368]

two things interesting.

#1 being they'll give you a debit mastercard if you don't want them to have your bank info/you can't get a bank account.

#2 being - WHAT THE HELL? 136 million checks go out every month?!?!?! Way too many people are depending on government income..... WOW.

-----

http://www.wfaa.com/news/politics/Federal-government-to-phase-out-pap-96298779.html

DALLAS - The U.S. Department of the Treasury has announced that paper checks will be a thing of the past in a little less than two years.

To save money, the federal government will go paperless, phasing out paper checks by 2013 for those receiving Social Security, Supplemental Security Income, veterans, railroad retirement and federal civil servant retirement benefits.

Those receiving monthly government checks will get their federal benefit payments deposited electronically starting March of 2013. The system will kick in immediately for those signing up for benefits starting March of 2011. Currently, 85 percent enrolled to receive such benefits are already receiving their payments electronically.

By going paperless, the government says taxpayers will save about $300 million in the first five years. By not sending out the 136 million checks, the federal government will immediately save $48 million in postage.

For those not comfortable handing over their bank account information to the government or those without a bank account, deposits from the U.S. Treasury can go to a Direct Express Debit MasterCard.

Something really fuzzy here. Some simple math:

1) 85% of those enrolled to receive benefits are already receiving their payments electronically.

2) 136 million checks go out every month. The article implies that this is the number of checks that will not be sent, thus implying this is the number of paper checks.

By extension, the 136 million paper checks that are sent out are 15% of those enrolled. Thus, over 906 million checks, including paper and electronic checks, go out every month. That's over 3 checks for every man, woman, and child in the US.

[BobandXiaomei 14]

Something really fuzzy here. Some simple math:

1) 85% of those enrolled to receive benefits are already receiving their payments electronically.

2) 136 million checks go out every month. The article implies that this is the number of checks that will not be sent, thus implying this is the number of paper checks.

By extension, the 136 million paper checks that are sent out are 15% of those enrolled. Thus, over 906 million checks, including paper and electronic checks, go out every month. That's over 3 checks for every man, woman, and child in the US.

Don't forget vendors. The guv has a lot of contracts out there.

[Nagishkaw 510]

i'm one - retirement check - but it's electronically deposited.

Same here.

[Niels Bohr 72]

Get in with the new age....checks, what are those ancient things doing in the wild!

I have about 1000 blank checks, unused. And, I never pick up my pay stub at all. Who needs them when you have direct deposit?

[mawilson 2,133]

Who needs them when you have direct deposit?

The IRS when you get audited.

[Marilyn. 340]

I still have to use checks to pay my car insurance and rent... I wish they would get with the program

[SMR 368]

I still have to use checks to pay my car insurance and rent... I wish they would get with the program

Rent: sure.

But who are you getting car insurance from that doesn't accept direct deposit. All the car insurance companies I have dealt with will accept either direct deposit or will just charge your credit/debit card. Sometimes running on a debit or credit card comes with an additional fee.

Checks still have a place for transactions and gifts between private citizens. Unless you want to use cash, there really isn't another option.

[Wyld Blu 35]

It's about time the USA caught up to many other places in the world. They basically don't even use checks at all in Holland. My husband has never written or received a check, not even from work. It is all pretty much done electronically. We had to go to his bank once there, not even a teller was in sight....everything is electronic.

-Blu-

[Marilyn. 340]

Rent: sure.

But who are you getting car insurance from that doesn't accept direct deposit. All the car insurance companies I have dealt with will accept either direct deposit or will just charge your credit/debit card. Sometimes running on a debit or credit card comes with an additional fee.

Checks still have a place for transactions and gifts between private citizens. Unless you want to use cash, there really isn't another option.

well, it is just a small insurance company... we used to be able to pay over the phone with a credit card but they charged you 5 bucks, so I only used that option if I needed to pay it quick.. but now you can only pay by check even over the phone and they will charge you 5 bucks still if you pay by phone..

but we have decided that once this insurance runs out we are changing to a different insurance company for this and other reasons..