The Treasury Department will begin offering Social Security recipients the option of receiving payments by debit card instead of traditional checks, signaling a further effort by the government to move toward electronic technology.

"The explosive growth in the prepaid card industry offers an important opportunity for the Treasury to give unbanked payment recipients secure, easy access to their funds, at low or no cost to the cardholder," said Treasury Financial Management Service Commissioner Judy Tillman.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.