Request for Information Related to the Executive Order, “Modernizing Payments To and From America's Bank Account”, 23108-23109 [2025-09766]

Agencies

• DEPARTMENT OF THE TREASURY

[Federal Register Volume 90, Number 103 (Friday, May 30, 2025)]
[Notices]
[Pages 23108-23109]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-09766]


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DEPARTMENT OF THE TREASURY


Request for Information Related to the Executive Order, 
``Modernizing Payments To and From America's Bank Account''

AGENCY: Departmental Offices, Department of the Treasury.

ACTION: Request for information (RFI).

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SUMMARY: The U.S. Department of the Treasury (Treasury) invites public 
input to inform its implementation of the President's Executive Order 
(E.O.) 14247 on ``Modernizing Payments To and From America's Bank 
Account'' issued on March 25, 2025, which, among other items, directs 
the Secretary of the Treasury to cease issuing paper checks and 
transition to the use of electronic payments for all Federal 
disbursements where feasible. This request for information (RFI) offers 
the opportunity for interested individuals and organizations to provide 
feedback on matters related to Treasury's implementation of E.O. 14247, 
in particular Treasury's efforts to advance a public awareness campaign 
that will help consumers, including unbanked and underbanked 
populations, transition to digital payments as contemplated by the E.O.

DATES: Written comments and information are requested on or before June 
30, 2025.

ADDRESSES: Please submit comments electronically through the Federal 
eRulemaking Portal: https://www.regulations.gov, specifically at 
https://www.regulations.gov/docket/TREAS-DO-2025-0004.
    In general, all comments will be available for inspection at 
www.regulations.gov. Comments, including attachments and other 
supporting materials, are part of the public record. Do not submit any 
information in your comments or supporting materials that you consider 
confidential or inappropriate for public disclosure.

FOR FURTHER INFORMATION CONTACT: Tyler Curtis, Director, Office of 
Consumer Policy, (202)-717-3754, [email protected]; Nora 
Esposito, Senior Advisor, Office of Consumer Policy, (202)-604-9307, 
[email protected].

SUPPLEMENTARY INFORMATION:

I. Background

    The President's Executive Order on ``Modernizing Payments To and 
From America's Bank Account'' (the E.O.) issued on March 25, 2025, 
requires the transition to electronic payments for all Federal 
disbursements and receipts by digitizing payments to the extent 
permissible under applicable law.\1\ The policy's goals are to defend 
against financial fraud and improper payments, increase efficiency, 
reduce costs, and enhance the security of Federal payments. Effective 
September 30, 2025, and to the extent permitted by law, the Federal 
Government will cease issuing paper checks for all Federal 
disbursements inclusive of intragovernmental payments, benefits 
payments, vendor payments, and tax refunds, except as specified in the 
E.O.
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    \1\ Exec. Order No. 14247, 90 FR 14001 (March 28, 2025).
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    As stated in the E.O.,
    ``the continued use of paper-based payments by the federal 
government, including checks and money orders, flowing into and out of 
the United States General Fund, which might be thought of as America's 
bank account, imposes unnecessary costs; delays; and risks of fraud, 
lost payments, theft, and inefficiencies. Mail theft complaints have 
increased substantially since the COVID-19 pandemic. Historically, 
Department of the Treasury checks are 16 times more likely to be 
reported lost or stolen, returned undeliverable, or altered than an 
electronic funds transfer (EFT). Maintaining the physical 
infrastructure and specialized technology for digitizing paper records 
cost the American taxpayer over $657 million in Fiscal Year 2024 
alone.'' \2\
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    \2\ Id. at 14001.
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    Further, check fraud is becoming more common, with banks issuing 
about 680,000 reports of check fraud in 2022--nearly double the number 
of check fraud reports from 2021. Digital payments are more efficient, 
less costly, and less vulnerable to fraud.
    Among other taskings, the E.O. directs Treasury, in coordination 
with other agencies, ``to develop and implement a comprehensive public 
awareness campaign to inform Federal payment recipients of the 
transition to electronic payments, including guidance on assessing and 
setting up digital payment options.'' \3\ The E.O. also directs 
Treasury to work with financial institutions, consumer groups, and 
other stakeholders to address financial access for unbanked and 
underbanked populations. This RFI will help Treasury seek stakeholder 
input on these directives. Additionally, the E.O. directs Treasury to 
review and, as appropriate, revise procedures for granting limited 
exceptions where electronic payment and collection methods are not 
feasible.
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    \3\ 90 FR 14002.
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    Treasury is therefore seeking information and recommendations from 
all interested parties on matters related to the implementation of E.O. 
14247, in particular Treasury's efforts to advance a public awareness 
campaign that will help consumers, including unbanked and underbanked 
populations, transition to digital payments as contemplated by the E.O.

II. Request for Information

    Treasury welcomes input on any matter that commenters believe is 
relevant to Treasury's role in implementing the President's Executive 
Order on ``Modernizing Payments To and From America's Bank Account.'' 
Commenters are invited to respond to any or all of the following 
questions, and to provide any other comments relevant to this work.

A. Paper Check Usage for Government Collections and Disbursements

    1. What are some of the factors causing individuals and 
organizations to continue to use paper checks to receive or make 
payments to the Federal Government?
    2. What barriers exist for transitioning individuals and 
organizations to electronic funds transfer (EFT) options?
    a. Are there particular barriers preventing unbanked and 
underserved individuals from adopting EFT options?
    b. Are there particular barriers preventing individuals who own 
bank accounts or small businesses from adopting EFT options?
    c. Are there cases where Federal agencies do not currently provide 
EFT options or where information regarding EFT options is not readily 
available?
    d. What alternatives to EFT payments should Federal agencies 
consider in the limited cases where electronic methods are not 
feasible?
    2. Have there been successful campaigns in the private sector or in 
other areas to transition individuals from paper checks to EFT options 
that could inform Federal efforts?
    a. Why do you think that these campaigns were successful?
    b. What strategies would you recommend to Treasury?

B. Public Awareness Campaign and Stakeholder Outreach

    1. What information should a public awareness campaign include and 
what

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support or tools are needed to help people transition from using paper 
checks to EFT options for Federal payments?
    2. As Treasury coordinates with other Federal Government agencies 
on this public awareness campaign, what are the most effective 
communication channels for Federal agencies to reach program 
participants and other payees? Are there external entities or 
organizations in the private or nonprofit sectors that Federal agencies 
should partner with to increase awareness among beneficiaries and 
payees?
    3. What are the best communication channels for the Federal 
Government to gather information from individuals who currently rely on 
paper checks?
    4. How should Federal agencies inform the public about different 
EFT payment options when they choose how to make government payments?

C. Preferred EFT Methods

    The E.O. discusses transitioning government payments to EFT 
methods, including direct deposit, debit and credit card payments, 
prepaid card accounts (such as Direct Express), digital wallets and 
real-time payment systems, and other digital payment options.
    1. Which electronic payment methods are typically used to make or 
receive payments by the general public, unbanked individuals, and 
individuals who rely on paper checks from the Federal Government? Why 
do individuals choose these payment methods?
    2. What EFT options, including those listed in the E.O., do you 
think the Federal Government should offer for incoming and outgoing 
payments, and why?
    a. What are some potential risks or considerations related to 
offering certain EFT methods that Treasury should be aware of?
    b. Are there administrative, regulatory, or statutory barriers 
related to offering certain types of EFT methods?
    c. How can the government prevent fraud and make payments securely 
using these EFT options?
    3. What types of organizations or partnerships could be leveraged 
to provide access to EFT payments for individuals or businesses that do 
not have bank accounts?
    4. Are there additional financial products or services available to 
facilitate EFT methods of payment not listed in the E.O. that the 
public should be aware of?

D. General Comments Related to the E.O. ``Modernizing Payments To and 
From America's Bank Account''

    1. Are there any other issues related to the implementation of this 
E.O. that you would like to raise?

Tyler Curtis,
Director, Office of Consumer Policy.
[FR Doc. 2025-09766 Filed 5-29-25; 8:45 am]
BILLING CODE 4810-AK-P