Would you like your tax refund put on a debit card ? (unemployment, elect)

[WannaliveinGreenville]

Would you like your tax refund put on a debit card ?

Next week, the Treasury Department will offer 600,000 "unbanked" Americans a debit card that can receive direct deposits.

[HappyTexan]

NO..look at the mess that unemployment is in once the banks get their grimy little claws on someone else's money.

People are losing money from their UE benefits because the banks have convoluted rules on access and are charging "fees" up the wazoo.

Want your refund to be whittled away by bank fees ?
Aren't the banks getting enough government bailout money to keep them afloat ?

[lifelongMOgal]

People who get tax refunds are very poor at figuring their withholding. Why loan money to the government for free?

Never had a "debit card" and never intend to. Good point about the fees HappyTexan. Wonder if this is another "payback" to the banking industy?

[HistorianDude]

So, take the check.

[tuteishungry]

Originally Posted by WannaliveinGreenville

Would you like your tax refund put on a debit card ?

Next week, the Treasury Department will offer 600,000 "unbanked" Americans a debit card that can receive direct deposits.

That's incredibly shocking, but i'm also shocked when I have friends who don't have a savings account. Is that bad?

I couldn't do it. I direct deposit every time.

[Dane_in_LA]

Originally Posted by HappyTexan

NO..look at the mess that unemployment is in once the banks get their grimy little claws on someone else's money.

People are losing money from their UE benefits because the banks have convoluted rules on access and are charging "fees" up the wazoo.

Want your refund to be whittled away by bank fees ?
Aren't the banks getting enough government bailout money to keep them afloat ?

What's the alternative? A check? Check cashing places aren't free, either. Choice is good, and checks are a 19th-century form of payment anyway.

[WannaliveinGreenville]

The government says its costs $ 1.00 to mail paper checks but to do the debit card is just pennies...

But they also report that some will be charged a fee of $ 4.95 for the card.

The department plans to send letters to 600,000 households next week, asking them to take part in a pilot program to put their tax refunds on the debit cards, which can be used to get money from ATM machines, pay bills or to buy goods and services from retailers.
The Internal Revenue Service is aiming to reduce the amount of paper it handles. To encourage taxpayers to file their returns electronically, for instance, the IRS is not mailing paper forms to taxpayers this year.

[summers73]

Originally Posted by Dane_in_LA

What's the alternative? A check? Check cashing places aren't free, either. Choice is good, and checks are a 19th-century form of payment anyway.

Fiat money was a 5th century form of currency, but it keeps rearing it's ugly head from time to time. Typical lifespan of non-gold backed currency: 30-40 years.

[ergohead]

Originally Posted by tuteishungry

That's incredibly shocking, but i'm also shocked when I have friends who don't have a savings account. Is that bad?

I couldn't do it. I direct deposit every time.

Does that make you feel MORE, or LESS, secure?

[Dane_in_LA]

Originally Posted by summers73

Fiat money was a 5th century form of currency, but it keeps rearing it's ugly head from time to time. Typical lifespan of non-gold backed currency: 30-40 years.

Eh? Checks work the same whether the underlying currency is fiat money or not.

But in the 21st century, transferring money by having the IRS' computer print a physical piece of paper which is then mailed, signed by the recipient, exchanged for money or goods, mailed again, scanned/read by another computer which then informs the IRS' computer that the check has cleared - doesn't that strike you as a little roundabout? We have those cool point-of-sale computer links all over the place, why bother with a grubby piece of paper that has to be handled? It's expensive.