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Who
can open an ETA? |
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Any
individual who receives a Federal benefit, wage,
salary, or retirement payment is eligible to open
an ETA at a participating bank, credit union,
or savings and loan. Credit unions can offer ETAs,
but a recipient must be eligible to be a member
of that credit union in order to open an account
there. As a condition to opening an ETA, Federal
credit unions may require that a recipient open
and maintain a share account with a minimum balance,
if such a requirement is imposed under Federal
or State law. |
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What
if I have bad credit? |
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An ETA Provider is required to open an ETA for
any recipient of a Federal benefit, wage, salary,
or retirement payment regardless of credit history,
unless
(1) the financial institution is aware that the
individual previously held an ETA that was closed
because of fraud at any financial institution,
or;
(2) the institution, for reasons of fraud or account
misuse, previously closed an ETA held by the individual
at that institution. |
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Can an ETA Provider refuse to open an
ETA for me? |
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Yes, if
(1) the financial institution is aware that the
individual previously held an ETA that was closed
because of fraud at any financial institution,
or
(2) the institution, for reasons of fraud or account
misuse, previously closed an ETA held by the individual
at that institution. |
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Will
my ETA be closed if I stop receiving a Federal
payment? |
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An
ETA may remain open even if you stop receiving
a Federal payment. Contact an ETA Provider to
learn what its practices are. |
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Can
institutions such as investment or insurance companies
open an ETA for me? |
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No. Only federally insured banks, credit unions,
and savings and loans are allowed to participate
in the ETA program. Investment companies, check
cashing facilities, and other non-bank financial
service providers cannot offer ETAs. |
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How
do I sign up for electronic deposit of my Federal
payment into the ETA? |
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At the time you open the ETA, you must
(1) enroll in Direct Deposit through automated
enrollment at the financial institution, or
(2) enroll in Direct Deposit via telephone with
the paying Federal agency,
(3) complete a Direct Deposit sign-up form.
One of these methods must be used for each type
of Federal payment you want to be deposited into
the ETA. |
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Can
an ETA be jointly held? |
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Yes, at the discretion of the financial institution.
The recipient's name does not have to be the only
name in the title of the ETA. The ETA can also
be held by a representative payee receiving payments
on behalf of another individual. |
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Can
a jointly held ETA receive two separate eligible
payments? |
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Yes, it can. However, offering a joint ETA is
at the discretion of the ETA Provider. |
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Does
the ETA Provider tell me what my minimum balance
must be? |
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No minimum balance is required for an ETA unless
required by Federal or State law. For example,
credit unions may require that a balance of a
membership share be maintained. |
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Can
I only have my Federal Payment deposited into
the ETA? |
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Deposits may be limited by the ETA Provider to
Federal benefit, wage, salary, or retirement payments
paid electronically. Other types of deposits (e.g.,
checks, cash, and/or other electronic deposits
(including State benefits deposited electronically))
may be allowed at the option of the ETA Provider.
Check with the ETA Provider to learn if it allows
other types of deposits to the ETA. |
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Will
I have to pay a fee for these other types of deposits?
|
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No. An ETA Provider is not permitted to charge
any fee in connection with allowing deposits of
other funds into an ETA. Check with the ETA Provider
to learn if it allows other types of deposits. |
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What
happens if my payment is not the correct amount?
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Over or under payment of a Federal payment into
an ETA will be handled by the agency providing
the payment. (See "Agency
Customer Service") |
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Do
I have to leave my money in this account all month
after I receive it? |
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No. You may withdraw money from your ETA on the
day it is deposited. ETA Providers must allow
their ETA customers a minimum of four (4) free
withdrawals per month. Some may allow more than
four (4) free withdrawals per month.
Check with the ETA Provider to learn how many
withdrawals are allowed. |
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Will
the ETA Provider write me a check when I want
to get my money? |
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No, you will receive cash. Cash withdrawals
may be provided by an ETA Provider
through one of three methods:
(1)
at an automated teller machine (ATM);
(2)
over-the-counter at the ETA Provider's main
office or branch locations;
(3) through a combination of ATM and over-the-counter
transactions.
Check with the ETA Provider to learn what withdrawal
options it offers. There may be a fee charged
for using an ATM not owned by the ETA Provider.
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Will
I get personalized checks with an ETA? |
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No. There are no check-writing privileges with
an ETA. |
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Can
I get one of those plastic debit cards that allow
me to not use cash when I shop? |
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On-line Point-of-Sale (POS) access using debit
cards is available to ETA customers at no extra
charge if the ETA Provider is part of an on-line
POS network and it offers this access to its other
customers. Check with the ETA Provider to learn
if it offers on-line POS access. ETA customers
will be responsible for any fees for POS use that
may be imposed by individual merchants. |
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Can
I get an ATM (automated teller machine) card so
I don't have to go to the bank all the time? |
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Yes. Most ETA Providers allow ATM withdrawals.
Others may require you to make withdrawals over-the-counter
at a teller window. Check with the ETA Provider
to learn if it offers ATM services and, if so,
the locations of its ATMs.
There may be extra fees charged for using an ATM
not owned by the ETA Provider. |
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How
do I know how much money I have in my ETA? |
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ETA Providers must allow their ETA customers a
minimum of four (4) free balance inquiries per
month by whatever means used for providing balance
information to other customers. This minimum does
not include the balance provided to the ETA customer
on withdrawal or deposit receipts. |
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Do
I get anything else that lets me know my balance?
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ETA Providers must provide monthly statements
to their ETA customers at
no extra charge. |
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Do I earn any interest on my ETA? |
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An
ETA may earn interest at the discretion of the
bank, credit union, or savings and loan offering
the ETA. An ETA Provider may charge a higher monthly
fee for an interest bearing ETA than it charges
for a non-interest bearing ETA, but in no case
may it charge a monthly fee in excess of $3.00.
Check with the ETA Provider to learn if it offers
interest on the ETA. |
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Do
I have to tell the ETA Provider when I want to
take my money out of the ETA? |
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If the bank, credit union, or savings and loan
pays interest on an ETA, it reserves the right
to require seven (7) days' written notice prior
to withdrawal of funds. Check with the ETA Provider
for its requirements regarding withdrawals from
ETAs that pay interest. |
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What
happens if I overdraw my ETA? |
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Its very difficult to over draw an ETA. If you
do, there is a maximum charge of $10 for overdrafts
that have occurred during a 24-hour period. |
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What
happens if I open an ETA and then need to write
checks or want a check card? |
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An ETA customer may switch to another type of
account (e.g., traditional checking or savings)
at any time. The ETA customer's paying agency
(e.g., Social Security Administration) must be
notified of the change in financial institution
or account number.
If a recipient changes the account to which his/her
payment will be electronically deposited, the
"old" account should be kept open until
the "new" account begins receiving the
electronic deposit. |
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What happens if I move? Must I keep my
ETA with the same ETA Provider once it's opened?
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An ETA customer can close an ETA by notifying
the ETA Provider AND paying agency (e.g., Social
Security Administration) so that other payment
arrangements can be made (e.g., electronic deposit
to another account). |
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Can an ETA Provider close my ETA without
my authorization? |
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An ETA Provider may close an ETA for fraud or
account misuse. If the ETA Provider terminates
its agreement with the Treasury, the ETA Provider
must stop opening ETAs. In addition, it must close
existing ETAs in a manner that allows for the
orderly transfer of the ETAs to another type of
account or another ETA Provider. |
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If
my ETA Provider charges fees, how do I pay them?
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Monthly fees are the responsibility of the ETA
customer (the recipient of the Federal benefit,
wage, salary or retirement payment). Once the
ETA is opened, the monthly account maintenance
fee may be charged in accordance with the standard
billing procedure of the bank, credit union, or
savings and loan. Monthly fees may be deducted
from the ETA automatically. Check with the ETA
Provider to learn how to pay fees associated with
your ETA. |
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I don't want to open any account because
someone will take my money since I owe them money.
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In
order to ensure recipients understand that Federal
benefit payments deposited to an ETA generally
are protected from attachment, banks, credit unions,
and savings and loans opening ETAs must provide
information to recipients on the types of funds
that are not attachable and whom to call for more
information. |
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What if I don't want a bank account? |
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You
can choose to continue to receive your payment
by check if receiving your payment through an
ETA or by Direct Deposit is a problem for you.
We
encourage you to speak to an ETA Provider or
the agency
that pays you to find out more about your
choices for receiving your Federal payment.
REMEMBER,
no matter what you choose, your payments will
be made without interruption.
If you have any additional questions regarding
the ETA you can e-mail
us your question. |
