Modernizing Payments To and From America's Bank Account
Headline: Requires Federal Agencies to Stop Paper Checks by September 2025
What it does: Agencies must transition all federal payments and receipts to electronic methods and end paper checks by September 30, 2025.
- Most federal benefit recipients and vendors will receive electronic payments, not paper checks.
- Agencies must create enrollment and outreach programs for unbanked and underbanked people.
- Treasury will centralize digital payment systems and eliminate physical lockbox services.
Summary
This order requires the federal government to move all payments from paper checks and money orders to electronic methods and stop issuing paper checks by September 30, 2025. It directs agencies to use direct deposit, prepaid cards, digital wallets, real-time payments, and centralized Treasury systems, while providing exceptions for people without bank access, emergencies, or national security needs.
The goal is to reduce costs, prevent fraud and mail theft, speed transactions, and improve payment security for taxpayers, recipients, and vendors.
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