The Donald Trump administration recently issued an order to end the use of paper checks for federal payments from agencies such as the Social Security Administration (SSA) and the Internal Revenue Service (IRS). Physical Social Security checks will be phased out beginning September 30, 2025, and the SSA will no longer send them to all federal beneficiaries who use this method of collection.
This includes people who receive Social Security Disability Insurance. The measure is part of a modernisation strategy with a clear goal: to lower administrative costs and improve payment security. However, this change poses a threat to thousands of people, particularly those who live in rural areas or do not have access to digital banking. It poses a risk to their primary, or sole, source of monthly income.
494,000 Social Security recipients could have their payments suspended
How many people are actually affected by President Trump’s decision? According to recent data, nearly 494,000 people continue to receive their payments on paper. Although the number has decreased significantly in ten years, it remains significant. If no action is taken, each individual’s payments may be suspended.
The SSA and the Treasury Department explain their reasoning. First, there are high operating costs. Producing, printing, mailing, and processing physical checks costs more than a dollar per unit. Electronic transfers cost pennies. What about the potential savings? Hundreds of millions of dollars per year.
The federal government also prioritises security. Mailed checks are prone to theft, loss, and fraud. Approximately 500,000 incidents of lost or stolen checks are reported each year. This causes headaches for recipients while also overloading the system.
Electronic payments provide a more robust alternative. They are more secure, easy to track, and arrive on time. They reduce the risk and bureaucracy involved in replacements.
You must do this immediately so that your payments are not suspended
If you receive SSDI by check and wish to continue collecting, you must act immediately. The first step is to log in or create an account on the official My Social Security portal. There, you can change your payment method. You must select either direct deposit to a bank or the Direct Express card.
To make a bank deposit, you must have accurate information on hand, including the name of your bank or credit union, account number, type (savings or checking), and routeing number. Errors here can result in delays or even temporary payment suspensions.
If you don’t have a bank account or want a different option, apply for the Direct Express card. It is a government-issued prepaid debit card. Every month, funds are automatically loaded. Use it at ATMs, retail locations, and online. A practical solution.
The new SSA rule also applies to SSDI payments
Please take note of this new requirement. Beginning April 14, 2025, updating your payment method or bank information will require identity verification. This must be completed in person, unless you are using an online platform with enhanced authentication. This is an excellent way to prevent fraud.
However, this measure can be a stumbling block. Those without reliable internet access will need to visit a local SSA office. This presents a logistical challenge, particularly for residents in remote areas or with limited mobility.
What will happen if you do not switch by September 30, 2025? Your monthly payments will be automatically suspended. No more checks will be issued. To reactivate your payment, complete the online enrolment process. This process may take weeks or months.
Furthermore, if the SSA does not confirm your current address or if you ignore requests (such as medical checkups or income verification), they may preemptively suspend payments. Keep your information up to date, and respond to any official notifications.
