The National Consumer Law Center® (NCLC®) is a non-profit organization specializing in consumer issues on behalf of low-income and other vulnerable people. Since 1969, NCLC has worked with legal services and nonprofit organizations as well as government and private attorneys across the United States, to create sound public policy for low-income and elderly individuals on consumer issues. The NCLC has just sent out a press release explaining how recipients of social security and SSI payments will be protected from seizures from bank accounts by creditors because of a recent change in the law. Effective March 1, 2013, both new applicants and current recipients who do not choose another option (and have not been granted a wavier) will automatically receive their payments on the federal government’s Direct Express card.
Current benefits recipients have until March 1, 2013 to choose an electronic payment option. After that date, no payments will be issued via check, unless the person qualifies and is approved for an exemption.
To continue receiving paper checks, recipients must be approved by the US Treasury for one of the following exemptions:
• Aged 90 years or older, as of May 1, 2011 (no wavier required)
• Mentally impaired
• Live in a remote geographic area lacking the capability to support an electronic financial transaction
Here are more details from the press release:
Continue reading "Social Security & SSI Payments Protected from Creditors" »



