Direct Deposit must be offered by Eligibility staff to applicants/participants at Intake, Redetermination, and upon request for information about Direct Deposit. The PA 1675-2, Direct Deposit Overview, which provides an overview about the Direct Deposit Program is reviewed with each applicant/participant at Intake and at any point of contact thereafter.
|
Requirement
|
Limit/Condition
|
|
Eligibility staff will inform the participant of the benefits of the Direct Deposit Program
|
The benefits of the Direct Deposit Program include:
|
·
|
Access to cash aid on the 1st of each month;
|
|
·
|
Elimination of surcharge fees for using Out-of-Network Automated Teller Machines (ATMs);
|
|
·
|
Money is available 24 hours a day/seven days a week;
|
|
·
|
Access to bank services, such as online banking, bill pay, etc.;
|
|
·
|
Consumer protection laws apply; and
|
|
·
|
A safe and reliable way to get cash aid.
|
|
|
Participants must have a bank/credit union account
|
A participant who does not have an existing bank/credit union account must select a bank/credit union and open an account. Once the account is open, the participant can sign up for Direct Deposit.
|
|
Participant must be the payee on the case
|
To qualify for Direct Deposit, the participant must be the payee on the case, have an open bank/credit union account, and be named as the sole/joint owner of the account.
The participant must understand that if there is another name on the account, that person can also use the funds in the account. This means that an account holder, other than the participant, can also access the benefits. Any funds withdrawn cannot be replaced.
Note: If a second parent is aided on the case, but is not the payee, Direct Deposit cannot be set up if the bank account is only in the name of the second parent. The name listed on the bank/credit union account must be the same as the payee name on the case which includes middle initials. If it is different, the A-C will not set up Direct Deposit.
|
|
The participant must comply with the Direct Deposit Program requirements
|
|
·
|
The PA 1675, Direct Deposit Authorization Sign-Up Form, is provided to the participant upon the participant’s request only when the case is approved, not when it is in pending or denied status;
|
|
·
|
The participant follows the instructions printed on the reverse side of the PA 1675;
|
|
·
|
The participant completes Section 1 of the PA 1675;
|
|
·
|
The CalWORKs/RCA Detail page is stapled to the PA 1675;
|
|
|
o
|
The A-C will compare the name on the printout to the name on the account. If the computer system displays Michelle A. Smith, the bank/credit union account must display Michelle A. Smith as well.
Note: If the bank/credit union account displays Michelle Smith rather than Michelle A. Smith, the A-C will deny the Direct Deposit request. The participant would need to resolve the discrepancy first before submitting the PA 1675 to the A-C.
|
|
·
|
The participant understands the importance of ensuring that the system screen shot remains stapled to the PA 1675;
|
|
·
|
The PA 1918, Verification of Benefits, is signed and attached to the PA 1675;
|
|
·
|
The participant must attach a voided check if he/she is using a checking account;
|
|
·
|
The financial institution must complete Section II of the PA 1675 if the participant is designating a bank savings account or a credit union account;
|
|
·
|
The participant mails the PA 1675, PA 1918, and screen shot of the CalWORKs/RCA Detail page in the postage-paid pre-addressed return envelope to the A-C for processing; and
Note: The mailing address for all Direct Deposit Sign-up and Cancellation forms is noted on the back side of the PA 1675.
|
|
·
|
The participant is aware that it may take up to 20 calendar days to process the Direct Deposit request. The 20-day timeframe begins when the PA 1675 is received by the A-C.
|
|
|
Reasons the A-C will reject a Direct Deposit request
|
|
·
|
The case has been denied or is in pending status;
|
|
·
|
The name on the bank/credit union account does not exactly match the payee name on the case;
|
|
·
|
The address on the voided check is different from the case record.
|
|
·
|
The voided check is not attached or Section 2 of the PA 1675 is not completed;
|
|
·
|
The CalWORKs/RCA Detail page is not attached to the PA 1675;
|
|
·
|
The Social Security Number (SSN) listed on the PA 1675 is different from the case record;
|
|
·
|
The PA 1675 is not signed; or
|
|
·
|
The PA 1918, Verification of Benefits, is not signed or attached to the PA 1675.
|
|
|
The participant requests to cancel Direct Deposit
|
When a participant requests to cancel his/her Direct Deposit, the Eligibility Worker (EW) must verify the issuance method and:
|
·
|
Give the PA 1675-3, Direct Deposit Cancellation Form, (out-of-drawer) with system screen print (CalWORKs/RCA Detail page with Case Payee) and a business-reply envelope (pre-addressed to the A-C) to the participant.
|
|
·
|
Instruct the participant to complete the form and return it in the pre-addressed envelope provided, alerting the participant not to detach the system screen print.
Note: The A-C compares the name on the bank/credit union account with the name on the computer printouts; the names must match exactly.
|
Note: If the participant contacts the Customer Service Center (CSC) to cancel the Direct Deposit, the CSC EW will create a tracking ticket for the Case-Carrying EW to follow up with the request.
|
|
The availability of benefits deposited in the participant’s account
|
Benefits are available as follows:
|
·
|
Monthly automatic benefits are deposited by the first day of each month.
|
|
·
|
Supplemental and supportive services benefits are deposited three to five days after they are authorized.
Exception: Homeless Assistance (HA) benefits authorized on approved Direct Deposit cases are issued via District Pick-Up so that the benefits are available as soon as possible.
|
|
|
Benefits that are deposited into an overdrawn account
|
When benefits are deposited into an overdrawn account, the bank/credit union will deduct the amount owed by the participant from his/her account. The County will not be responsible for replacing any benefits to the participant. In this situation, it is the responsibility of the participant to maintain sufficient funds in his/her account.
In addition, Los Angeles County will not be responsible for any garnishments deducted from benefits deposited into the designated account authorized by the participant. This means that benefits deposited and later seized or garnished (e.g., by the Internal Revenue Service [IRS]) cannot be replaced.
|
|
Bank Account activity available to the County
|
The bank account activity cannot be monitored or accessed by the EW. The participant must provide and attach the current bank account balance only to the SAR 7, Eligibility Status Report, or on the SAWS 2 PLUS, Application for CalFresh, Cash Aid and/or Medi-Cal/Health Care Programs, during the Redetermination.
|