The U.S. Treasury Department issued a request for information (RFI) connected to Executive Order (EO) 14247, titled “Modernizing Payments To and From America’s Bank Account.” The EO directs the agency to transition federal disbursements to electronic payments, beginning Sept. 30.
This will entail all federal payments currently made by paper check — including Social Security benefits, tax refunds and vendor payments — being made electronically instead.
“Paper checks are increasingly the front door for fraud,” the Treasury wrote in a press release describing the reasoning behind the EO. “Treasury is committed to raising awareness of the growing fraud risks associated with paper checks and providing Americans with the knowledge and tools to fight financial fraud and make informed financial decisions.”
In the RFI, the agency asked interested stakeholders to provide feedback on the department’s implementation of the EO, as well as recommendations for how to increase public awareness and help consumers, including unbanked and underbanked populations, transition to digital payments.
Interested stakeholders will have until June 30 to submit comments responding to the RIF, which will be publicly available at www.regulations.gov.