Veterans Benefits Banking Program
Know the Differences Between Your VA Benefits Payment Options
VA beneficiaries choose among the three available options for receiving VA monetary benefits: Direct Deposit into an existing or new bank account, electronic funds transfer (EFT) to a Direct Express prepaid or other prepaid card, or mailing of paper checks to pre-approved beneficiaries.
Neither VA nor AMBA endorses any particular banks, credit unions, products or services, or requires Veterans or other beneficiaries to use them.
Your VA Benefits Payment Options
Direct Deposit is the safest, fastest, and most cost-efficient method to receive benefits payments. “Debt Collection Improvement Act of 1996” required all Federal payments to be made by Electronic Fund Transfer (EFT or Direct Deposit) beginning January 1, 1999.
There are three ways to change Direct Deposit—through VA.gov, National Call Center (NCC), or the direct line for international beneficiaries.
Fill out an electronic form:
va.gov/change-direct-deposit/
Call the VA Call Center:
1-800-827-1000 with routing number and account number
For international direct deposit updates, please call us at
1-981-781-7550
Direct Deposit*
Checking / Savings Account
Direct Express®**
Prepaid Card
US Government Check
Branch Banking
Direct Deposit*
Checking / Savings Account
Yes, most banks operate branches. Some are national, others are regional. Community banks operate in smaller areas. A few banks are digital only.
Direct Express**
Prepaid Card
No
US Government Check
No
Depositing Funds
Direct Deposit*
Checking / Savings Account
Unlimited deposits to checking or savings accounts
Direct Express**
Prepaid Card
Only US Government funds may be deposited; no other funds may be added
US Government Check
No
Access to Funds
Direct Deposit*
Checking / Savings Account
24/7 through ATM / POS networks, checks drawn on account, mobile payments and deposits
Direct Express**
Prepaid Card
24/7 through ATM / POS networks
US Government Check
Funds available only when check is cashed
Mobile Banking
Direct Deposit*
Checking / Savings Account
Mobile apps allow bank customers to manage accounts, set up automatic bill payments, person-to-person payments, mobile deposits, mobile payments, etc.
Direct Express**
Prepaid Card
Mobile app available only to check account balances, view transaction history, and find ATMS. Does not support card transactions.
US Government Check
No
Writing Checks
Direct Deposit*
Checking / Savings Account
Unlimited check writing on most bank checking accounts
Direct Express**
Prepaid Card
No
US Government Check
No
Automatic Bill Payments
Direct Deposit*
Checking / Savings Account
Most banks allow automatic payments of bills
Direct Express**
Prepaid Card
No
US Government Check
No
Daily Spending Limits
Direct Deposit*
Checking / Savings Account
Most banks don’t charge for or limit numbers of cash withdrawals. ATM limits vary by bank. Savings accounts limit you to no more than six transfers or withdrawals from a savings deposit account per statement cycle.
Direct Express**
Prepaid Card
No spending limits; only one free ATM cash withdrawal per month
US Government Check
Funds available only when check is cashed
Fees & Charges
Direct Deposit*
Checking / Savings Account
Low/no fees for most banking services
Direct Express**
Prepaid Card
One free cash withdrawal per deposit; fees charged for most other services
US Government Check
Fees often charged for cashing checks unless check is deposited into or cashed by a bank
Access to Financial Education and Advice
Direct Deposit*
Checking / Savings Account
Yes, most banks have robust education programs
Direct Express**
Prepaid Card
Yes, limited education programs available
US Government Check
No
Customer Service
Direct Deposit*
Checking / Savings Account
Yes, full service available
Direct Express**
Prepaid Card
Yes, limited service available
US Government Check
No
FDIC Insured
Direct Deposit*
Checking / Savings Account
Up to $250,000
Direct Express**
Prepaid Card
Up to $250,000
US Government Check
No
Ability to Save
Direct Deposit*
Checking / Savings Account
Yes, with interest-bearing checking or savings account balances
Direct Express**
Prepaid Card
No
US Government Check
No
Loans
Direct Deposit*
Checking / Savings Account
Available from most banks for qualified borrowers
Direct Express**
Prepaid Card
No
US Government Check
No
Credit Cards
Direct Deposit*
Checking / Savings Account
Available from most banks for qualified borrowers
Direct Express**
Prepaid Card
No
US Government Check
No
Fraud & Theft Protection
Direct Deposit*
Checking / Savings Account
Liability limited to $50 when fraud or theft reported within two business days; $500 when reported within 60 days
Direct Express**
Prepaid Card
Liability limited to $50 when fraud or theft reported within two business days; $500 when reported within 90 days
US Government Check
In many cases, the government will reissue stolen checks, but the process takes time
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