The unemployment insurance payments that support a Californian while they are out of work are paid on a debit card. Unemployment payments started coming in on the cards in July of 2011. The EDD debit card is a Bank of America card.

The money stays in its own account. Unemployed Californians have an opportunity to spend the money any time.

Using the EDD debit card is easy. No waiting for checks.

1. Activate the card. Once the card is activated, unemployment benefits payments will get paid on the card. The Employment Development Department recommends immediate activation. There is no fee for activation.

The EDD sends the card to Californians on unemployment. Filing for unemployment is enough. No card request is needed.

The card lasts three years. Lost cards get replaced for free in the domestic United States.

2. Read the card information. When the card comes in the mail, an information packet comes with it. Make sure all the information on the card and using it to spend gets read. There is wallet sized quick reference guide the worker can carry around.

The two most important pieces of information are the California Employment Development Department Debit Card Deposit Agreement and the Schedule of Bank Fees. Read over the deposit agreement carefully to know all the rules for the account deposits, transfers, and spending. The fee schedule tells card users when they will get charged a fee for using and the card, and how much.

There is also a Bank of America privacy policy in the packet.

3. File a claim for an unemployment benefits payment. The money only comes in after a Continuing Claim form is sent in to the right EDD office and the payment is approved. Just like taking checks for unemployment. The unemployed person also has to certify the claim.

The EDD set up two quicker ways to certify the claim. Tele-cert for phone certification. And Web-cert for finishing the payment request online. Learn about the certification methods at the EDD's website, www.edd.ca.gov.

4. Receive the money on the debit card. EDD pays the money onto the card automatically. The worker does not have to do anything. When the money gets put into the debit card account, the worker takes control over the money.

5. If the money belongs in a checking or a savings account, do a direct deposit transfer. Workers can talk to Bank of America to transfer the money into an account they can use for cash that can be spent anywhere, without carrying around a debit card. Recurring transfers can get set up. Some or all of a payment can be transferred to an account automatically each time a payment comes in. Visit www.bankofamerica.com/eddcard to set up direct deposit.

Checking accounts and savings accounts are not needed to use the EDD debit card, but the accounts do make using cash more convenient.

6. Spend the money. Any store or seller that takes VISA can take the EDD debit card for payment. Grocery stores and gas stations typically take VISA. Workers can also take advantage of other opportunities to pay using the money in the Bank of America card account. A doctor's bill at the medical office is easily paid. Restaurants also can take the electronic payments. Lunches and dinners can get counted on the account charges.

Pay bills using the card. Any company or merchant that takes VISA can take the card.

Get cash from any teller at a bank or credit union that takes VISA. Grocery stores often give cash back for free when a customer buys something. Drug stores and the U. S. Post Office also do. ATM cash withdrawals are free at any ATM in the Bank of America network. Card users also get 2 free withdrawals at any other ATM at a bank or credit union.

Keep watch over the account. Workers can use unlimited inquiries for payment status and banking balance. Use ATMs, an online website, or a call to customer service to learn the balance.

Source:

California Employment Development Department, Introducing the EDD Debit Card: Receiving your Unemployment and Disability benefits will be faster, easier, and more secure (2011).