Despite Concerns Over Mail Delivery,
Majority of Federal Government Payments Continue to be Made On Time Because of Direct Deposit
More than 97% of Recipients of Social Security and Veterans Benefits Rely on Direct Deposit
HERNDON, Va., August 19, 2020 – In recent days, significant concerns have been raised over the delivery of payments from the Social Security Administration and the Veterans Benefits Administration via the U.S. Postal Service. Following is a statement from Jane Larimer, President & CEO of Nacha, the nonprofit organization that serves as the steward of the ACH Network.
“While recipients that still receive a check may have concerns about mail delivery, the overwhelming majority of Americans who rely on Social Security and Veterans benefits continue to receive their payments on time because they use Direct Deposit. This month alone, 62.7 million Social Security payments were made electronically, totaling 99.1 percent of all recipients.
“According to the Treasury Department’s most recent numbers, 97.5% of all non-IRS payments were made electronically, including Social Security, Veterans benefits and salaries for federal employees. Direct Deposit is fast, reliable and secure, ensuring that federal benefits are delivered on-time, every time.”