The US Treasury Department has announced that all federal benefit and non-tax payments will be paid electronically from March 1 this year.

The move from paper to digital signals a change that will see the phasing out of millions of cheques over the next two to two and a half years.

People will choose whether to receive their payments by direct deposit to the bank or credit union account of their choice, or to a Direct Express Debit MasterCard.

Electronic payments are said to save US taxpayers $120m a year as paper costs are cut out.

According to Prescott News, nine out of ten people already receive their payment electronically.

Related articles:

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Federal Reserve to track changing payment methods