People out of work in Wyoming may need to get to work in reading the fine print if they're collecting Unemployment Insurance benefits through a debit card. A new report from the Pew Center on the States finds that many receiving their payments on the pre-paid cards are getting dinged by fees. Lauren Saunders, managing attorney for the National Consumer Law Center says for example, in Wyoming, there's a 20-dollar overdraft fee, as well as other possible charges.
Direct deposit is not an option yet in Wyoming, although a check can be mailed, instead. There are upsides to the cards because they save states money, those collecting benefits have access to their money sooner, and people without bank accounts can avoid check-cashing fees because they can access cash at an A-T-M. Wyoming's Unemployment Insurance cards, called ReliaCards, are issued by U-S Bank. The complete list of fees are sent to those receiving the cards.
Second Cut: Saunders says the debit card companies make their profits through those fees, which states negotiate with the issuers.
The U-S Department of Labor has issued a "best practices" guide to states with recommendations that include elimination of overdraft fees.
Direct deposit is not an option yet in Wyoming, although a check can be mailed, instead. There are upsides to the cards because they save states money, those collecting benefits have access to their money sooner, and people without bank accounts can avoid check-cashing fees because they can access cash at an A-T-M. Wyoming's Unemployment Insurance cards, called ReliaCards, are issued by U-S Bank. The complete list of fees are sent to those receiving the cards.
Second Cut: Saunders says the debit card companies make their profits through those fees, which states negotiate with the issuers.
The U-S Department of Labor has issued a "best practices" guide to states with recommendations that include elimination of overdraft fees.
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