Unemployment Benefit Debit Cards

States’ unemployment debit cards often carry hidden costs, fees, By Pamela M. Prah, January 20, 2011, Stateline.org: “Like many out-of-work Americans, Philip Tressler gets his unemployment benefits deposited directly into his checking account. He could have received the benefits via a debit card that the state also offers. But Tressler, who was laid off 14 months ago after 32 years working for a grocery distributor in western Pennsylvania, didn’t go for the card. ‘It’s just not convenient,’ he says, especially since he doesn’t use the same bank that issues the state’s debit card. But there’s more than inconvenience at issue when it comes to state debit cards for the unemployed. Had Tressler decided to take one, he might have been subjected to a whole array of extra charges, including $1.50 for each withdrawal of cash from an ATM that isn’t ‘in-network.’ Pennsylvania is among some 30 states that offer debit cards as vehicles for unemployment insurance payments. These cards have their advantages. Workers get their benefits quicker, and states save money. And people without bank accounts can avoid check-cashing fees and make purchases without carrying large amounts of cash…”