31 U.s.c. 3332

§ 3332

TITLE 31—MONEY AND FINANCE

(C), the word ‘‘duly’’ is omitted as surplus. The words
‘‘disbursing official or agent’’ are substituted for ‘‘officer or agent’’ for consistency in the revised title. The
words ‘‘any wholly owned or mixed-ownership Government corporation’’ are omitted as already being included in the restated source provisions and because of
section 101 of the revised title. Therefore, the text is
not meant to exclude employees of wholly owned Government corporations and mixed-ownership Government corporations. The words ‘‘the District of Columbia, or the District Unemployment Compensation
Board’’ are omitted because of section 448 of the Act of
December 24, 1973 (Pub. L. 93–198, 87 Stat. 801). The
words ‘‘or by any entity owned or controlled by the
United States’’ are omitted as unnecessary. In subclause (D), the words ‘‘and covered . . . or deposited
with the Treasurer of the United States’’ are omitted
as surplus. The words ‘‘or another account available for
payment’’ are added for clarity and consistency in the
revised section. In clause (2), the word ‘‘money’’ is
omitted as being covered by ‘‘coins and currency’’.
In subsections (b) and (c), the words ‘‘When the Secretary is satisfied’’ are substituted for ‘‘whenever it is
clearly proved to the satisfaction of the Secretary’’ to
eliminate unnecessary words. The words ‘‘mutilated
or’’ are omitted as being covered by ‘‘defaced’’.
In subsection (c), before clause (1), the words ‘‘Notwithstanding the provisions of subsections (a) and (b) of
this section’’ are omitted as unnecessary. The words
‘‘including the Panama Canal Zone’’ are omitted because of the Panama Canal Treaty of 1977. The words
‘‘official designated’’ are substituted for ‘‘officer or employee of the United States as may be authorized’’ for
consistency in the revised title and with other titles of
the United States Code. The word ‘‘agency’’ is substituted for ‘‘department or agency’’ because of section
101 of the revised title and for consistency. In clause
(2), the words ‘‘drawn on’’ are substituted for ‘‘drawn
against’’ for consistency in the revised chapter.
In subsection (d)(3), before subclause (A), the word
‘‘Treasury’’ is substituted for ‘‘Treasurer of the United
States’’ because of the source provisions restated in
section 321 of the revised title and Department of the
Treasury Order 229 of January 14, 1974 (39 F.R. 2280).
In subsection (d)(4), the word ‘‘official’’ is substituted
for ‘‘officer’’ for consistency in the revised title and
with other titles of the United States Code.
In subsection (e), the words ‘‘surety or’’ are omitted
as surplus. The words ‘‘the receipt and approval by the
Secretary of the Treasury of’’ are omitted because of
the restatement.
1983 ACT
This restates, as 31:3331(f), section 3646(h) of the Revised Statutes that was inadvertently omitted from the
codification of title 31 by the Act of Sept. 13, 1982 (Pub.
L. 97–258, 96 Stat. 1084). It provides authority for the
Secretary of the Treasury to delegate duties and powers related to issuing substitute checks to heads of
other agencies.
The words ‘‘terms and’’ are omitted as surplus. The
words ‘‘duties and powers’’ are substituted for ‘‘power,
authority, or discretion’’ for consistency in the revised
title and with other titles of the United States Code.
The words ‘‘in whole or in part’’ are omitted as surplus.
The words ‘‘to such individuals as he may designate
within the Treasury Department’’ are omitted because
of 31:321(b)(2). The word ‘‘agency’’ is coextensive with
and substituted for ‘‘other department or agency of the
Government or of any Federal Reserve bank’’ because
of 31:101. The words ‘‘terms and conditions’’ are omitted as surplus.
AMENDMENTS
1996—Subsec. (b). Pub. L. 104–134, § 31001(x)(2)(A), substituted ‘‘subsection (c) or (f)’’ for ‘‘subsection (c)’’.
Subsecs. (f), (g). Pub. L. 104–134, § 31001(x)(2)(B), (C),
added subsec. (f) and redesignated former subsec. (f) as
(g).

Page 214

1983—Subsec. (f). Pub. L. 97–452 added subsec. (f).
EFFECTIVE DATE OF 1983 AMENDMENT
Section 2(i) of Pub. L. 97–452 provided that: ‘‘The
amendments made by section 1(11), (14), (19), (22), (24),
(26), and (27) [amending this section and sections 3702,
5103, 5154, 6501, 9101, 9107, and 9108 of this title] are effective as of September 13, 1982.’’

§ 3332. Required direct deposit
(a)(1) Notwithstanding any other provision of
law, all Federal wage, salary, and retirement
payments shall be paid to recipients of such payments by electronic funds transfer, unless another method has been determined by the Secretary of the Treasury to be appropriate.
(2) Each recipient of Federal wage, salary, or
retirement payments shall designate one or
more financial institutions or other authorized
payment agents and provide the payment certifying or authorizing agency information necessary for the recipient to receive electronic
funds transfer payments through each institution so designated.
(b)(1) The head of each agency shall waive the
requirements of subsection (a) of this section for
a recipient of Federal wage, salary, or retirement payments authorized or certified by the
agency upon written request by such recipient.
(2) Federal wage, salary, or retirement payments shall be paid to any recipient granted a
waiver under paragraph (1) of this subsection by
any method determined appropriate by the Secretary of the Treasury.
(c)(1) The Secretary of the Treasury may
waive the requirements of subsection (a) of this
section for any group of recipients upon request
by the head of an agency under standards prescribed by the Secretary of the Treasury.
(2) Federal wage, salary, or retirement payments shall be paid to any member of a group
granted a waiver under paragraph (1) of this subsection by any method determined appropriate
by the Secretary of the Treasury.
(d) This section shall apply only to recipients
of Federal wage or salary payments who begin
to receive such payments on or after January 1,
1995, and recipients of Federal retirement payments who begin to receive such payments on or
after January 1, 1995.
(e)(1) Notwithstanding subsections (a) through
(d) of this section, sections 5120(a) and (d) of
title 38, and any other provision of law, all Federal payments to a recipient who becomes eligible for that type of payment after 90 days after
the date of the enactment of the Debt Collection
Improvement Act of 1996 shall be made by electronic funds transfer.
(2) The head of a Federal agency shall, with respect to Federal payments made or authorized
by the agency, waive the application of paragraph (1) to a recipient of those payments upon
receipt of written certification from the recipient that the recipient does not have an account
with a financial institution or an authorized
payment agent.
(f)(1) Notwithstanding any other provision of
law (including subsections (a) through (e) of this
section and sections 5120(a) and (d) of title 38),
except as provided in paragraph (2) all Federal
payments made after January 1, 1999, shall be
made by electronic funds transfer.

Page 215

§ 3332

TITLE 31—MONEY AND FINANCE

(2)(A) The Secretary of the Treasury may
waive application of this subsection to payments—
(i) for individuals or classes of individuals
for whom compliance imposes a hardship;
(ii) for classifications or types of checks; or
(iii) in other circumstances as may be necessary.
(B) The Secretary of the Treasury shall make
determinations under subparagraph (A) based on
standards developed by the Secretary.
(g) Each recipient of Federal payments required to be made by electronic funds transfer
shall—
(1) designate 1 or more financial institutions
or other authorized agents to which such payments shall be made; and
(2) provide to the Federal agency that makes
or authorizes the payments information necessary for the recipient to receive electronic
funds transfer payments through each institution or agent designated under paragraph (1).
(h) The crediting of the amount of a payment
to the appropriate account on the books of a financial institution or other authorized payment
agent designated by a payment recipient under
this section shall constitute a full acquittance
to the United States for the amount of the payment.
(i)(1) The Secretary of the Treasury may prescribe regulations that the Secretary considers
necessary to carry out this section.
(2) Regulations under this subsection shall ensure that individuals required under subsection
(g) to have an account at a financial institution
because of the application of subsection (f)(1)—
(A) will have access to such an account at a
reasonable cost; and
(B) are given the same consumer protections
with respect to the account as other account
holders at the same financial institution.
(j) For purposes of this section—
(1) The term ‘‘electronic funds transfer’’
means any transfer of funds, other than a
transaction originated by cash, check, or similar paper instrument, that is initiated through
an electronic terminal, telephone, computer,
or magnetic tape, for the purpose of ordering,
instructing, or authorizing a financial institution to debit or credit an account. The term
includes Automated Clearing House transfers,
Fed Wire transfers, transfers made at automatic teller machines, and point-of-sale terminals.
(2) The term ‘‘Federal agency’’ means—
(A) an agency (as defined in section 101 of
this title); and
(B) a Government corporation (as defined
in section 103 of title 5).
(3) The term ‘‘Federal payments’’ includes—
(A) Federal wage, salary, and retirement
payments;
(B) vendor and expense reimbursement
payments; and
(C) benefit payments.
Such term shall not include any payment
under the Internal Revenue Code of 1986.
(Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 955; Pub.
L. 98–369, div. B, title VIII, § 2814, July 18, 1984, 98

Stat. 1207; Pub. L. 103–356, title IV, § 402(a), Oct.
13, 1994, 108 Stat. 3412; Pub. L. 104–134, title III,
§ 31001(x)(1), Apr. 26, 1996, 110 Stat. 1321–376.)
HISTORICAL AND REVISION NOTES
Revised
Section
3332(a) .....

Source (U.S. Code)
31:492(b)(3).

31:492(note).
3332(b) .....

3332(c) .....

3332(d) .....
3332(e) .....
3332(f) .....
3332(g) .....

31:492(b)(1)(1st sentence words before 1st comma,
words between 2d
comma and proviso).
31:492(b)(1)(proviso,
last sentence).
31:492(note).

31:492(b)(2)(less
32d–43d words).
31:492(c).
31:492(d)(1st–50th
words).

Source (Statutes at Large)
R.S. § 3620(b), (c); added Aug.
28, 1965, Pub. L. 89–145, § 1(2),
79 Stat. 582; restated June
29, 1968, Pub. L. 90–365, 82
Stat. 274; July 19, 1975, Pub.
L. 94–57, § 1(a), 89 Stat. 265.
July 19, 1975, Pub. L. 94–57,
§ 1(b)(1st sentence), (c)(1st
sentence), 89 Stat. 265.

July 19, 1975, Pub. L. 94–57, 89
Stat. 265, § 1(b)(2d, last sentences), (c)(2d, last sentences); added Dec. 18, 1975,
Pub. L. 94–157, § 109, 89 Stat.
831.

R.S. § 3620(d); added Aug. 7,
1972, Pub. L. 92–366, 86 Stat.
506.

31:492(b)(1)(1st sentence words between 1st and 2d
commas),
(2)(32d–43d words),
(d)(51st–last
words).
31:492(note).

In subsection (a), the definition of ‘‘agency’’ is omitted because of section 101 of the revised title. The
words ‘‘and the municipal government of the District of
Columbia’’ are omitted because of section 448 of the Act
of December 24, 1973 (Pub. L. 93–198, 87 Stat. 801). The
text of section 1(b)(1st sentence) and (c)(1st sentence) of
the Act of July 19, 1975, is omitted as executed. In
clause (2), the words ‘‘savings bank’’ are omitted as
surplus.
In subsections (b)–(f), the words ‘‘officer or employee’’ are substituted for ‘‘employee’’ for consistency
in the revised title and with other titles of the United
States Code.
In subsections (b) and (d), the word ‘‘official’’ is substituted for ‘‘officer’’ for consistency in the revised
title and with other titles of the Code. The words
‘‘issue a check payable to’’ are substituted for ‘‘make
the payment . . . by sending to . . . a check that is
drawn in favor of the organization’’ for clarity and consistency and to eliminate unnecessary words.
In subsection (b), before clause (1), the words ‘‘Notwithstanding subsection (a) of this section or any other
provision of law’’ are omitted as unnecessary. The
words ‘‘may designate in writing not more than 3 financial organizations to which a payment of pay of the officer or employee shall be sent and the amount to be
sent to each organization’’ are substituted for ‘‘upon
the written request of an employee of the agency to
whom a payment for wages or salary is to be made . . .
in the form of one, two, or three checks (the number of
checks . . . if more than one . . . designated by such
employee’’ for clarity, consistency in the revised title
and with other titles of the Code, and to eliminate unnecessary words.
In subsection (c), the words ‘‘(except for a financial
organization designated by an officer or employee of either House of Congress)’’ are substituted for section
1(b)(last sentence) and (c)(last sentence) of the Act of
July 19, 1975 (Pub. L. 94–57, 89 Stat. 265), because of the
restatement. The words ‘‘to which such check is sent’’
are omitted because of the restatement.
In subsection (d), the words ‘‘to whom a payment is
to be made’’ are omitted as surplus. The words ‘‘upon

§ 3333

TITLE 31—MONEY AND FINANCE

the written request of such employee’’ are omitted as
unnecessary. The words ‘‘accompanied by a schedule’’
are added for clarity.
In subsection (e), the word ‘‘payment’’ is substituted
for ‘‘acquittance’’ for clarity and consistency.
Subsection (f) is substituted for 31:492(d)(1st–50th
words) to eliminate unnecessary words.
In subsection (g), the words ‘‘rules and’’ in section
1(b) and (c) of the Act of July 19, 1975 (Pub. L. 94–57, 89
Stat. 265), are omitted as surplus.
REFERENCES IN TEXT
The date of the enactment of the Debt Collection Improvement Act of 1996, referred to in subsec. (e)(1), is
the date of enactment of section 31001 of Pub. L.
104–134, which was approved Apr. 26, 1996.
The Internal Revenue Code of 1986, referred to in subsec. (j)(3), is classified generally to Title 26, Internal
Revenue Code.
AMENDMENTS
1996—Subsecs. (e) to (j). Pub. L. 104–134 added subsecs.
(e) to (g), redesignated former subsec. (e) as (h), and
added subsecs. (i) and (j).
1994—Pub. L. 103–356 substituted ‘‘Required direct deposit’’ for ‘‘Checks payable to financial organizations
designated by Government officers and employees’’ as
section catchline and amended text generally. Prior to
amendment, section authorized agency officers and employees to designate not more than 3 financial organizations to which a payment of pay or other recurring
payments was to be sent without charge and required
the agency head to authorize issuance of checks payable to those financial organizations in the designated
amounts.
1984—Subsec. (b). Pub. L. 98–369, § 2814(a), inserted
‘‘without charge’’ after ‘‘shall be sent’’.
Subsecs. (c) to (g). Pub. L. 98–369, § 2814(b), struck out
subsec. (c) which related to reimbursement of an agency for issuing additional checks, and redesignated subsecs. (d) to (g) as (c) to (f), respectively.
SAVINGS PROVISION
Any waiver in effect on Oct. 5, 1999, under subsec.
(f)(2)(A)(i) of this section to remain in effect until
otherwise provided by the Secretary of Defense under
section 2786 of Title 10, Armed Forces, see section
1008(a)(3) of Pub. L. 106–65, set out as a note under section 2786 of Title 10.
ELECTRONIC PAY STUBS
Pub. L. 110–423, § 1, Oct. 15, 2008, 122 Stat. 4818, provided that:
‘‘(a) IN GENERAL.—The Office of Personnel Management shall take such measures as may be appropriate
to ensure that all employees who receive their pay by
electronic funds transfer shall be given the option of receiving their pay stubs electronically.
‘‘(b) DEFINITIONS.—For purposes of this section—
‘‘(1) the term ‘electronic funds transfer’ has the
meaning given such term by section 3332 of title 31,
United States Code;
‘‘(2) the term ‘employee’ means an individual employed in or under an Executive agency; and
‘‘(3) the term ‘Executive agency’ has the meaning
given such term by section 105 of title 5, United
States Code.’’

§ 3333. Relief for payments made without negligence
(a)(1) The Secretary of the Treasury is not liable for a payment made by the Secretary or depositary in due course and without negligence,
of—
(A) a check, draft, or warrant drawn on the
Treasury or the depositary;
(B) an electronic payment issued by the
Treasury or the depositary; and

Page 216

(C) a debt obligation guaranteed or assumed
by the United States Government.
(2) The Comptroller General shall credit the
accounts of the Treasury or the depositary for
the payment.
(3) The amount of the relief and the amount of
any relief granted to an official or agent of the
Department of the Treasury under 31 U.S.C. 3527,
shall be charged to the Check Forgery Insurance
Fund (31 U.S.C. 3343). A recovery or repayment
of a loss for which replacement is made out of
the fund shall be credited to the fund and is
available for the purposes for which the fund
was established.
(b) This section does not relieve another individual from civil or criminal liability for a
check, draft, warrant, or debt obligation of the
Government.
(Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 956; Pub.
L. 108–447, div. H, title II, § 220(a), Dec. 8, 2004, 118
Stat. 3242; Pub. L. 110–161, div. D, title I, § 119,
Dec. 26, 2007, 121 Stat. 1979.)
HISTORICAL AND REVISION NOTES
Revised
Section

Source (U.S. Code)

3333(a) .....

31:156(less proviso).

3333(b) .....

31:156(proviso).

Source (Statutes at Large)
Aug. 4, 1947, ch. 455, § 3, 61
Stat. 730.

In subsection (a)(1), before clause (A), the words
‘‘Secretary of the Treasury’’ are substituted for
‘‘Treasurer’’ before ‘‘is not liable’’ because of the
source provisions restated in section 321(c) of the revised title. The word ‘‘depositary’’ is substituted for
‘‘upon the Treasurer of the United States through any
Federal Reserve Bank’’ for consistency in the revised
title. The words ‘‘Whenever . . . heretofore has been or
hereafter’’ and ‘‘or on behalf of’’ are omitted as surplus.
In clause (A), the word ‘‘Treasury’’ is substituted for
‘‘Treasurer of the United States’’ after ‘‘drawn upon
the’’ because of the source provisions restated in section 321 of the revised title and Department of the
Treasury Order 229 of January 14, 1974 (39 F.R. 2280). In
clause (B), the words ‘‘public . . . of the United States,
including any obligation of any type whatever, the payment of which is’’ are omitted as surplus.
In subsection (a)(2), the words ‘‘of the United States’’
are omitted as unnecessary. The words ‘‘of the Treasury or the depositary’’ are substituted for ‘‘Treasurer’s’’ because of the restatement.
In subsection (b), the words ‘‘another individual’’ are
substituted for ‘‘any person, other than the Treasurer
of the United States’’ to eliminate unnecessary words.
The words ‘‘now existing or which may hereafter exist’’
are omitted as unnecessary.
AMENDMENTS
2007—Subsec. (a)(3). Pub. L. 110–161 added par. (3) and
struck out former par. (3) which read as follows: ‘‘The
amount of the relief shall be charged to the Check Forgery Insurance Fund (31 U.S.C. 3343). A recovery or repayment of a loss for which replacement is made out of
the fund shall be credited to the fund and is available
for the purposes for which the fund was established.’’
2004—Subsec. (a)(1). Pub. L. 108–447, § 220(a)(1), amended par. (1) generally. Prior to amendment, par. (1) read
as follow: ‘‘The Secretary of the Treasury is not liable
for a payment made by the Secretary or depositary in
due course and without negligence, of a—
‘‘(A) check, draft, or warrant drawn on the Treasury or the depositary; and
‘‘(B) debt obligation guaranteed or assumed by the
United States Government.’’
Subsec. (a)(3). Pub. L. 108–447, § 220(a)(2), added par.
(3).