Treasury Sending Out 4 Million Prepaid Debit Cards With Stimulus Money
The IRS has so far delivered about 140 million relief payments, mostly by direct deposit. About 4 million Americans are expected to be sent debit cards this week loaded with their relief payment.
By Tanza Loudenback •
This story originally appeared on Business Insider
The Treasury Department on Monday announced plans to deliver millions of remaining relief payments by prepaid debit card this week.
"Treasury and the IRS have been working with unprecedented speed to issue Economic Impact Payments to American families," Treasury Secretary Steven Mnuchin said in a statement. "Prepaid debit cards are secure, easy to use, and allow us to deliver Americans their money quickly. Recipients can immediately activate and use the cards safely."
Since mid-April, about 140 million Americans have received relief payments totaling $239 billion, mostly by direct deposit. If the IRS didn't have a person's bank information from previous tax returns or submissions to its new online tools, the agency mailed paper checks. Some federal benefits recipients also received their payments by Direct Express card.
About 10 million Americans qualify for payments under the CARES Act but have yet to receive them. The Treasury says about 4 million people will get the prepaid Visa debit cards, issued by MetaBank, this week.
"EIP Cards are being distributed to qualified individuals without bank information on file with the IRS, and whose tax return was processed by either the Andover or Austin IRS Service Center," the Treasury statement said.
The debit cards will be sent from Money Network Cardholder Services, according to a Frequently Asked Questions page. Enclosed will be instructions on how to activate the card. Only one card will be provided per family. The cards can be used to withdraw cash from an ATM, transfer funds to a bank account, or make purchases wherever Visa is accepted.
Recipients of the prepaid card will be able to register the card for online access and visit EIPCard.com to check their balance and transaction history.
The relief payments are largely based on adjusted gross income reported on 2018 and 2019 tax returns. Anyone with a Social Security number who isn't claimed on someone else's tax return as a dependent — and earns below $99,000 as a single filer, $198,000 as a joint filer, and $136,500 as a head of household filer — is in line to receive a payment. Nonfilers and people who receive federal benefits also get payments.
Couples who file jointly could get up to $2,400, and individual filers can get up to $1,200, plus an extra $500 a child under age 17.
