Social Security Recipients to Receive New Direct Express Cards as Treasury Begins Bank Transition

The transition only affects beneficiaries who receive Social Security or Supplemental Security Income payments through Direct Express prepaid debit cards.

Kelly McBride Ni

Published: 5/28/2026, 11:47:23 PM EDT

Social Security Recipients to Receive New Direct Express Cards as Treasury Begins Bank Transition — A Social Security Administration (SSA) office in Washington on March 26, 2025. (Saul Loeb/AFP via Getty Images)

Millions of Social Security beneficiaries who receive federal payments through Direct Express prepaid debit cards will begin transitioning to a new financial institution this year after the U.S. Treasury selected Fifth Third Bank to manage the program, replacing Comerica Bank.

The Social Security Administration (SSA) said in a “Dear Colleague” notice sent to advocacy groups and partner organizations that new Direct Express enrollments will be through Fifth Third Bank, as of May 2026. Existing cardholders will transition later this year or in early 2027.

“For Social Security beneficiaries who are existing Direct Express cardholders, the transition of accounts to the new financial agent will begin later this year or early next year,” the notice states.

The SSA letter stated that beneficiaries will receive advance notice before replacement cards are issued and should continue using Comerica-issued cards until those cards expire.

The agency also urged beneficiaries to keep mailing addresses and contact information up to date to ensure delivery of replacement cards and official notices.

The transition only affects beneficiaries who receive Social Security or Supplemental Security Income payments through Direct Express prepaid debit cards.

Recipients who use direct deposit through personal bank accounts will not be affected. Direct Express allows federal beneficiaries to receive payments electronically through prepaid debit cards instead of traditional bank accounts.

"Direct Express currently serves approximately 3.4 million Americans with a prepaid debit card to receive their monthly federal benefits. The majority of cardholders do not have a bank account, and 57% have no other income beyond their government benefits," according to a press release announcing Fifth Third Bank’s five-year contract award last year.

The Direct Express program has been administered by Comerica Bank for years, but in September 2025, Fifth Third Bank announced that the Treasury Department’s Bureau of the Fiscal Service had designated it as the new financial agent.

Fifth Third said the transition will occur in phases, with Comerica continuing to service existing accounts until beneficiaries receive new Fifth Third-issued cards.

Records show the U.S. Department of the Treasury, Bureau of the Fiscal Service, sought a new financial agent in 2024. "For many cardholders, their federal benefit is the sole source of income and essential for basic living needs," it stated.

"The selected financial agent must continue to provide a safe, convenient, and reliable way for Direct Express® customers to receive their benefits and identify opportunities to further advance electronic payments in a manner that ensures the long-term sustainability, resiliency, and customer experience of the program," said the notice.

Direct Express also has a website with an FAQ that confirms that current cards will continue to work until replacement cards from Fifth Third are issued.

Recipients will be notified by mail before new cards are sent, and benefits will continue on the same schedule, it says.

"When your current Comerica card expires, you will receive a new Fifth Third-issued card. You do not need to take any action, and you will be notified before your new card arrives. In the meantime, your Comerica card will remain fully functional," it states.