SECTION 55.804. Methods of Disbursement

(a) The OAG's Child Support Division will disburse child support payments to an obligee by electronic funds transfer either by direct deposit into an account maintained by the obligee in a financial institution or through the Texas Debit Card system unless the obligee has signed an Authorization for Release of Information Form (1A004) to allow payments to be sent to a private collection agency or other third party.

(b) An obligee may choose to receive their child support payment through direct deposit into their bank account by completing the Direct Deposit Application Form (6A002).

(c) An obligee may decline to receive payments by electronic funds transfer and request payment by paper warrants if the obligee alleges in writing that receiving payments by electronic funds transfer would impose a substantial hardship.

(d) If an obligee fails to notify the State Disbursement Unit of the existence of an account maintained with a financial institution, or closes an account maintained with a financial institution previously used to accept direct deposit of a child support payment, without establishing a new account and informing the State Disbursement Unit, the Title IV-D Agency will issue a debit card and provide the obligee with instructions for activating and using the debit card.

(e) An obligee who has signed an Authorization for Release of Information Form (1A004) must revoke that authorization by signing a Revocation of Authorization for Release of Information Form (1A005) to receive their payments through the Texas Debit Card.

Source Note: The provisions of this §55.804 adopted to be effective June 4, 2006, 31 TexReg 4419; amended to be effective March 5, 2008, 33 TexReg 1763; amended to be effective March 16, 2010, 35 TexReg 2156