Basic (01-02)

VB 01503.710 Payment Resumptions From PSY S08

A. General

SVB payments are automatically restored when new representative payee data is transmitted onto the SVB SSR; however, a systems-generated notice will not be produced. Preparation of a manual resumption notice is required as explained in VB 01503.715.

EXCEPTION: If new payee data is transmitted the system will not release benefits suspended S08 if there are previous months of M02 on the record. The CPS must transmit a new force due amount for the M02 months to release withheld SVB payments.

B. Procedure — Beneficiary Legally Incompetent

Benefits cannot be resumed to beneficiaries determined to be legally incompetent under the laws of the jurisdiction in which he or she resides until a payee selection has been made. When new payee data is processed, SVB payments will be resumed.

C. Procedure — Substantial Harm Involved

Direct payment must be initiated and SVB paid beginning with the month following the 1-month suspension. SVB will be paid directly to the beneficiary even if representative payee development continues and/or direct payments would cause substantial harm. Take the following actions:

  • Obtain an SSA-11BK from the SVB beneficiary if payments have been previously issued on the record. (NOTE: If payments have not yet been paid, obtain a new SVB application that is signed by the claimant.);

  • Initiate direct payments to the SVB beneficiary beginning with the month following the S08 month. (CAUTION: Do not release any previously withheld SVB payments at this time. Benefits withheld will be addressed when the representative payee issue is resolved.);

  • Notify the SVB beneficiary of the actions taken (see VB 01503.715 for notice procedures);

  • Annotate in the Remarks field on the SVB SSR “Interim Direct Payment”; and

  • Update the SVB Intranet Site.

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VB 01503.710 - Payment Resumptions From PSY S08 - 02/01/2002
Batch run: 08/13/2012