Letter to Steven Mnuchin, Treasury Secretary - Frankel Leads 29 Members of Congress in Urging Treasury to Act on Concerns Regarding Economic Impact Payments (EIP)

Letter

Dear Secretary Mnuchin,

We are writing to bring your attention to concerns expressed by many recipients of the Economic
Impact Payments (EIP), in the form of prepaid debit cards.

While most EIP recipients have received their payments through direct deposit, the IRS
announced on May 27, 2020 that they would issue nearly 4 million payments in the form of debit
cards instead of paper checks. The Bureau of Fiscal Service, part of the Treasury Department, is
determining which individuals receive debit cards without providing any eligibility guidance or
explanation. This has raised serious concerns about the ability for many Americans to seamlessly
access this critical relief created by Congress to help the American public during this time of
great uncertainty and desperation.

Below are some of the concerns we have heard from constituents:

* Many eligible individuals are still waiting to receive their EIPs and are unclear on when
those funds will be provided to them.

* The EIP prepaid debit cards are being sent in plain white envelopes, which can easily be
mistaken for unsolicited mail and thrown away.

* Multiple fees are related to using these prepaid debit cards including:
o $5 for each additional transaction after the first withdrawal
o $2 for out-of-network ATM withdrawals after the first withdrawal.

* Activation for cards are asking for unusual information such as six digits of their Social
Security Number.

* EIP card providers have a $1,000/day ATM withdrawal limit, requiring recipients to
make multiple trips to access all of their funds. Some banks also have lower daily
withdrawal limits.

* The cards require you to go to a website or download an app to transfer funds to your
personal account, making it harder for people without reliable internet access.

We urge you to address these concerns so that struggling Americans can easily access the money
they were promised and desperately need.

Sincerely,