i just started being payee for my disabled brother. i had set up a savings and checking account for him. but i have yet to set up direct deposit to the account. Because of the type of account (Payee-Beneficary) the bank will not allow me to have an atm or check/debit card. they said electronic banking is not allowed for this type of account. ok, but in the ssdi handbook, they say they want us to have direct deposit or direct express. according to the literature, your monthly benefits can be deposit to this direct express card. this card can be used like a debit card and make purchases at stores online or cash withdrawals at participating atms. it says you can have access to your money anytime.
so my question is if this system is government approved, why wont my bank let me have a debit card? isnt it the same thing if my bank provides me an debit card, or ssdi using their approved debit card (direct express).
it would be convient for me, should my benficary need somthing on the spot to use this card instead of writing out a check, and im talking about small items like, buying him a snack or soda at a conveneince store.
I know that i need to put any unused monhtly benefits in an interest bearing account. so how does that work if i have money left on this direct express card? do i just take out whats leftover and then deposit it to the account?
im confused as to why my bank wont issue a debit/check card to me, but
ssdi endorsess direct express to use as a debit/check card!
I have a payee account for my son, and I have an ATM card that can be used to access both accounts, transfer funds, get cash, deposit, the whole works.
I use a major bank and live in CA. The rules could be different, or some banks do this, and some don't. I would first speak to the manager at your branch to see if you could work something out. Banks do not want to loose customers. Then I would look at other banks.
I hope you find a resolution...
The Following User Says Thank You to writeleft For This Useful Post: louv (02-28-2011)
I also live in CA , and my son has a little job working in the school cafeteria, as a janitor. The school district pays him each month... I was told by my bank that i should open an account under his name, then he could have his own debit card. When he turns 18, he will be on SSI, he is disabled . I am going to end up being his payee. So I was just hoping to use direct deposit and place his funds right into his own account. I do not know anything about direct express though.
If your brother is an adult I do not see why the bank will not let your brother have his own account ? Even though you are his representative payee.
Its not the bank who wont let him have his own account its ssdi. from my understanding, the money is his but he cant have direct access to it, me as his payee can, but to spend on his needs only. i guess him having schitzoprhenia they feel at this time he needs someone to help manage his benefits. gosh this is bringing me to another topic, are schitzoprehics allowed to manange their own finances without a payee? cause tell you the truth id rather have him handle his finances, being his payee if i mess up even if its an honest mistake ssdi will come after me! so i gotta make sure i document everthing. kinda makes me feel like im walking on eggshells!
but my original question about direct express still stands, is anyone on it, and could you tell about how it works for you.
The only reason for a payee/trustee is becuase the person is disabled to an extent they can not manage their own money. You have to have an account only for his money (you can not co-mingle with your funds) and the money is used only for his necessities.