Skip to Main Content

Economic Quarterly

Spring 1996

The Economics of Electronic Benefit Transfer Payments

David B. Humphrey

Around one-third of recipients of government Social Security, retirement, unemployment, food stamps, Aid to Families with Dependent Children, and other benefit programs do not have a bank account. Electronic benefit transfer (EBT) allows such recipients to obtain benefits electronically through ATM and debit card terminals, rather than by checks or food stamps. In so doing, EBT should lower costs and may double or triple the number of debit card transactions, hastening the replacement of checks by electronic payments.

Subscribe to Economic Quarterly

Receive an email notification when Economic Quarterly is posted online:

Subscribe to Economic Quarterly

By submitting this form you agree to the Bank's Terms & Conditions and Privacy Notice.

Phone Icon Contact Us

Lisa Davis (804) 697-8179