Understand the shift to electronic federal benefits. Key changes affecting your monthly Social Security checks.Learn how to switch to direct deposit and secure your payments.
00:00Hello everyone, and welcome to a major change affecting how millions receive their federal benefits,
00:06get ready to say goodbye to paper Social Security checks, and hello to digital payments.
00:11The U.S. government is rapidly pushing for all federal payments to go digital.
00:16This includes Social Security, SSDI, SSI, and even federal tax refunds.
00:22While most payments are already electronic, hundreds of thousands of households, over 418,000 as of June 2025, still rely on paper checks.
00:32This is a significant shift that will impact many.
00:35So, why the big push?
00:37This initiative stems from a Trump administration executive order from March 2025, aimed at modernizing payments to and from America's bank account.
00:46The reasoning is clear.
00:48Paper checks come with unnecessary costs and risks.
00:52including fraud, lost payments, and theft.
00:55In fact, paper checks are 16 times more likely to be reported lost or stolen compared to electronic transfers.
01:02The goal is simple.
01:04Boost security, cut costs, and enhance efficiency.
01:07By September 30, 2025, all federal payments will be digital.
01:11Your options include direct deposit, debit, and prepaid cards, digital wallets, and even real-time payment systems.
01:19While this change is widespread, there are exceptions for those without access to banking services or where electronic transfer would cause undue hardship.
01:28If you qualify, alternative payment options will be provided.
01:32If you're still receiving paper checks, it's crucial to act now.
01:35For tax returns, simply choose direct deposit when you file.
01:40For monthly Social Security, or SSI, you can sign up through the Treasury's GoDirect website, call their electronic payment solution center, or update your information via your My Social Security online account.
