U.S. Treasury to End Paper Checks by 2025: What It Means for Your Money

Big Changes Are Coming to How You Get Paid by the Government

Have you ever waited for a check to arrive in the mail? Maybe it was a tax refund, a Social Security payment, or another type of federal check. Sometimes, those checks take days—or even weeks—to arrive. And there’s always the risk that they could get lost, stolen, or delayed.

That’s why the U.S. government wants to make a big change.

By September 30, 2025, the U.S. Department of the Treasury plans to stop using paper checks and move all federal payments to electronic methods. This change comes from Executive Order 14247, which was signed to help make payments faster, safer, and better for everyone.

Let’s break down what this means and how it affects you.

What Are Federal Payments?

Federal payments are money sent by the U.S. government to people. These payments can include:

• Social Security checks
• Tax refunds
• Veterans’ benefits
• Government aid like child tax credits
• Federal employee paychecks

Right now, millions of these payments are sent by paper check. That may seem old-fashioned—and it is! Paper checks are slow and sometimes unsafe. That’s why the government wants to use electronic methods instead.

What Does "Electronic Payments" Mean?

An electronic payment is money sent directly to your bank account or prepaid debit card. The two main methods are:

• Direct Deposit – Money goes straight to your checking or savings account
• Prepaid Debit Cards – The government loads your money onto a card you can use like a regular debit card

Electronic payments are fast, safe, and easier to manage than paper checks.

Why Is the Treasury Making This Change?

There are a few big reasons:

1. Speed

When the government sends a check, it takes time to print, mail, and deliver. Sometimes it can take a week or more. With electronic payments, money can arrive within one or two days.

2. Safety

Paper checks can get lost or stolen. They can also be copied or changed by people trying to commit fraud. Electronic payments are much harder to steal and easier to track.

3. Saving Money

Printing and mailing checks costs a lot of money. The government says it can save millions of dollars each year by going paperless.

4. Helping the Environment

Paper checks use trees, ink, and gas for delivery trucks. Going digital is better for the planet.

What Is Executive Order 14247?

Executive Order 14247 is a rule signed by the President. It tells the U.S. Treasury to:

• Make all federal payments electronic
• Make payments easier to access for people without bank accounts
• Lower fraud and improve payment security

The goal is to finish this change by September 30, 2025.

How Will This Change Affect You?

If you already use direct deposit for things like Social Security or tax refunds, you may not notice any change at all.

But if you’re still getting paper checks, you’ll need to act soon. The Treasury will likely ask you to switch to electronic payments. If you don’t have a bank account, you might be able to use a Treasury-issued debit card instead.

What You Should Do Now

Here are 5 simple steps to get ready:

1. Check How You Get Paid

Look at your last Social Security or tax refund. Did it come as a check in the mail? Or was it a direct deposit?

2. Get a Bank Account

If you don’t have one, now is a good time to open a checking or savings account. Many banks offer low-cost or even free options.

3. Sign Up for Direct Deposit

You can sign up for direct deposit with the IRS, the Social Security Administration, or other agencies. It’s usually fast and easy to do online.

4. Watch for Government Notices

The Treasury may send you letters or emails about the change. Be sure to read them so you don’t miss important deadlines.

5. Ask for Help if You Need It

If you’re not sure how to switch to electronic payments, ask a family member, friend, or tax expert for help.

What About People Without Bank Accounts?

Some people don’t have a bank account. The government knows this and wants to help.

That’s why they may offer government debit cards—also called Direct Express cards. These cards can be used to:

• Pay bills
• Shop online or in stores
• Get cash from ATMs

You won’t need a bank account to use the card, and the money will load automatically each month.

What This Means for Tax Refunds

If you usually get a paper tax refund check, you’ll need to choose a different option soon.

The IRS already offers direct deposit and prepaid cards for refunds. In fact, over 90% of refunds are already sent electronically. If you haven’t made the switch yet, now is the perfect time.

You’ll get your money faster, and you won’t have to worry about lost mail.

Will There Be Any Problems?

Big changes can take time. Some people may:

• Forget to update their info
• Miss deadlines
• Have trouble with online forms

But the Treasury is working hard to make this process smooth and fair for everyone.