Millions of workers have filed for unemployment insurance benefits as a result of the coronavirus pandemic. If you’ve lost your job or a portion of your income, you can apply for benefits through your state unemployment program, and if you qualify, you have options for how you can receive this money.
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In most states, you can receive your money either on a state-issued prepaid debit card or by having it directly deposited into your own bank or credit union account or onto an existing prepaid card. In some states, receiving paper checks is also an option. While the majority of workers who are eligible for unemployment benefits have already filed as a result of COVID-19, many states will allow you to make changes to the way you receive your benefits.
Here are the most common ways to receive your unemployment insurance benefits:
Check the website of your state’s unemployment office because the options and processes for signing up can vary, and due to the coronavirus, it may be difficult to reach a customer service representative for additional support.
Similar to how you may have used direct deposit to receive your paycheck, you can have your money automatically sent to your checking or savings account or a prepaid card that you already own.
With direct deposit, you receive your money quickly and safely, and you can manage your unemployment benefits just like any other funds in your account. It also eliminates the risk of paper checks getting lost or stolen, as well as the need to physically deposit or cash it at a bank or credit union.
If you prefer to use a prepaid card, direct deposit is generally an option, but you’ll want to check first with your card provider to find out if your card is eligible to receive direct deposit. If you don’t already have a bank or credit union account or prepaid card, you’d need to open a new account first, which many financial institutions are allowing you to do online.
To sign up for direct deposit, check with your state’s unemployment program. The process differs by state, but you can search the website or find this information when you log into your account. Look carefully for the timing of when to sign up: this could be either when you apply, are approved, or begin receiving unemployment benefits.
No matter what state you live in, the following information is typically what’s required for signing up:
Most states currently provide the option for you to receive your unemployment benefits through a state-issued prepaid debit card. States, however, can’t require you to receive unemployment benefits on a state-issued prepaid debit card, so be aware that you do have options.
