By converting to direct deposit from pre-paid debit cards in 2019, more than 100,000 veterans have significantly reduced the amount of fraud to their military benefits.

At the end of 2019, the Department of Veterans Affairs created the Veterans Benefits Banking Program (VBBP), to help protect veterans from fraud as well as assist with managing finances.

With the help of the VA, the Association of Military Banks of America and the Defense Credit Union Council established a way to send veterans’ benefits to their banks through direct deposit instead of with pre-paid debit cards or even paper checks.

The world's largest financial institutions are enabling direct deposits using secure electronic banking systems. Direct deposit is a more reliable and safer financial option because your benefits will be deposited directly into a bank account and are immediately available. In this way, checking accounts are protected from theft, forgery and identity theft.

There were 97.5 cases of financial fraud per month on average since VBBP was enacted. During the last fiscal year, there has been a 75% decline in the number of new and existing structures from an average of 395.2 per month. During the first quarter of the fiscal year 2021 and ending on December 31, 2021, it was reported 40 times a month on average that financial fraud had occurred.

Make the switch now if you are receiving your VA benefits by prepaid debit cards or paper checks. Direct deposit is now the default method for over 100,000 veterans. The critical thing to remember is that by doing this, you are ensuring that your benefits will be available to you when you need them.