Due to systems limitations, death terminations are not automatically applied if the beneficiary is residing outside the United States and there is a non-terminated beneficiary on the record.  This is true whether the deceased beneficiary is the number holder or a dependent or survivor and:

• •

  a payment returned for reason of death (whether issued by check or direct deposit), or

• •

  a death input through Death Information processing System (DIPS) screens other than manual adjustment credit and award processes (MADCAP).

Payments continue but these actions cause an alert to the Office of Earnings and International Operations (OEIO).

OEIO will process the death termination through DIPS to terminate the record and stop the payments.

Example 1

Juan Garcia who lives in Spain dies. Even though the Federal Benefit Unit (FBU) makes a death input, payments will continue to be issued to Juan, and the widow will continue to receive payments only as a “B,” until OEIO:

• •

  Process the death termination through DIPS to terminate the record ,

• •

  manually create a D record in ITS.gov.

• •

  pay the lump sum death benefit (LSDP). IMPORTANT: If the spouse is receiving benefits through IDD then its.gov will need to be updated to reflect the conversion from BIC B to BIC D.

Example 2

Otto Miller and his wife Anna, living in Germany, are receiving benefits on his account. Anna dies, and the FBU makes a death input. OEIO will process the death termination through DIPS.

The key to successfully process death information is close coordination between OEIO, the Federal Reserve Bank of Kansas City (FRBKC), the Federal Benefit Units (FBU) and border offices. When death information is received by one of these entities, it needs to be shared with others to prevent erroneous payments after death and to aid in recovery of payments released before the death report is successfully processed to the Master Beneficiary Record (MBR).

When you receive a report of the death of a beneficiary receiving IDD payments, follow these steps:

1. 1. 

   Has the record already been terminated for death?

   • •

     If yes, go to step 2.

   • •

     If no, input a death termination.

2. 2. 

   Do you know the date of death?

   • •

     If yes, make any necessary corrections to the record to pay survivors correctly. Input the death to ITS.gov to intercept any payments after death to the deceased beneficiary.

   • •

     If no, go to step 3.

3. 3. 

   To reclaim any incorrect payments that went out after death, see GN 02408.900 to GN 02408.950.

When you receive a report of the death and the routing number for direct deposit begins with 5, 6, or 7, to indicate the beneficiary was receiving IDD benefits, follow these steps.

1. 1. 

   Ask for the date of death.

2. 2. 

   Input the date of death.

3. 3. 

   Ask OEIO to code the death to ITS.gov.

The FBU must take the following actions when they learn of the death of an IDD beneficiary:

1. 1. 

   Ask for the date of death.

2. 2. 

   Process the death termination through DIPS.

3. 3. 

   Intercept any payment(s) that might go out after death. This will prevent any further payments from reaching the FI.

4. 4. 

   Code the death on ITS.gov.

5. 5. 

   Does the routing number through which the deceased individual's payments were being sent begin with 51, 61, 62, 70, or 71?

   • •

     If yes, code the death on ITS.gov.

   • •

     If no, go to step 5.

6. 6. 

   Is your FBU in the country where the FI is located?

   • •

     If yes, code the death to ITS.gov, and also send a reclamation request to the FI for any payments already paid after death and not returned.

   • •

     If no, notify the appropriate FBU of the death.

   • •

     Is this a joint bank account or rep-payee involved? - if yes stop 

   • •

     If no, initiate reclamation in ITS for countries listed in GN 02408.920F

7. 7. 

   Follow GN 02408.900 to GN 02408.950 to reclaim any incorrect payments that went out after death.

• •

  GN 02408.900 Recovery of Title II International Direct Deposit (IDD) Payments Incorrectly Issued After Death of Beneficiary

• •

  GN 02408.901 Who processes an International Direct Deposit (IDD) Reclamation

• •

  GN 02408.905 When International Direct Deposit (IDD) Reclamation is not Appropriate

• •

  GN 02408.910 Starting the International Direct Deposit (IDD) Reclamation Process in the Office of Earnings and International Operations (OEIO)

• •

  GN 02408.912 Process When the U.S. Embassy in Tokyo Processes a Reclamation

• •

  GN 02408.915 Process when the Office of Earnings and International Operations (OEIO) is Responsible Reclamations

• •

  GN 02408.920 International Direct Deposit (IDD) Payment Reclamation Forms and the International Treasury Services Application (ITS.gov)

• •

  GN 02408.925 International Direct Deposit (IDD) Reclamation Process at the Kansas City Financial Center (KFC)

• •

  GN 02408.930 International Direct Deposit (IDD) Reclamation Process for a Federal Benefits Unit (FBU)

• •

  GN 02408.935 International Direct Deposit (IDD) Reclamation Process for a Foreign Bank

• •

  GN 02408.940 Refund to SSA While International Direct Deposit (IDD) Reclamation Is Pending at a Foreign Bank

• •

  GN 02408.945 Partial Recovery or No Recovery of International Direct Deposit (IDD) Payments