Q: A person I know receives SSDI benefits from the Social Security Administration. Her birthday is on the 11th and so she is supposed to get her deposits on the third Wednesday of each month. Instead they show up regularly on the Friday before the third Wednesday. Why is this happening?

A: The most probable reason the funds are available on the Friday before the third Wednesday is early direct deposit offered by her bank or financial institution (including prepaid cards like Direct Express).

Here's how it works:

SSA Sends Instructions Early: The SSA transmits payment information to the banking system (via the ACH network) a few days before the official payment date. This electronic file tells the bank that the funds are scheduled to be deposited on the 3rd Wednesday.

Bank Receives Notification: Her bank receives this notification ahead of time, often by Friday or Monday before the scheduled Wednesday payment.

Bank Releases Funds Early (Optional Feature): Many banks, credit unions, and financial technology companies now compete by offering "early direct deposit." Once they receive the confirmed payment information from the SSA, they make the funds available to their customer immediately (or up to 2 days early), rather than waiting for the official settlement date (the 3rd Wednesday). They are essentially giving the customer access to the money based on the pending deposit notification.

In short: The SSA is still officially paying her on the 3rd Wednesday, but her bank is giving her access to the money as soon as they get confirmation it's coming, which is often the Friday before.

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