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What is an EBT card?

EBT cards are Electronic Benefit Transfer cards issued by the U.S. government to citizens who may be in need of some kind of assistance for their daily and other needs.  Instead of the common practice of giving food items or cash to various beneficiaries, one may just opt to have an EBT card that will serve as a payment card for some grocery items at designated retail stores, for example.

In the case of food benefits from the U.S. government, one can use his/her EBT card to purchase grocery items, for example, in accredited or participating grocery stores, retail shops, and other establishments.  People that also have food stamp benefits can also take advantage of this using their EBT cards as these are honored in various retail stores scattered nationwide.  Food stamp benefits, though, are restricted only to basic food purchases.  This simply means that non-food items are not part of the benefit and, in this case, the EBT card may not be used.

EBT cards also function similar to bank debit cards or credit cards, and so they are also used by the U.S. government to give out cash benefits to certain qualified individuals.  People who need temporary cash assistance, for example, may get their cash benefits through their EBT cards.  Needy families who are in dire need of cash assistance may secure their EBT cards as their cash benefits are given much faster in this type of process.  Retrieving the cash benefits is simply like using bank ATM cards where people can withdraw money from various machines in many parts of the country.  Receiving cash benefits through the EBT card is a very convenient and efficient way for both the U.S. government and its people.

EBT cards can be used in all 50 states of the U.S., plus other areas like the District of Columbia, Guam, Puerto Rico, and the U.S. Virgin Islands. The various states have their own schedule in terms of distributing the benefits through EBT cards.  Some states do their benefit crediting as early as the 5th of the month, while others base their crediting schedule on the birthdays or Social Security number of the person involved.

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Posted by Erwin Z on Oct 27th, 2012 and filed under Finance & Investing. You can follow any responses to this entry through the RSS 2.0. You can leave a response via following comment form or trackback to this entry from your site