PROGRAM OPERATIONS MANUAL SYSTEMPart GN – GeneralChapter 024 – ChecksSubchapter 03 – Procedures for Handling Remittances and Premium Payments in the Field OfficeTransmittal No. 36, 11/27/2019
This section explains SSA operating policy for remittances submitted for payment to SSA that have been lost. This transmittal updates the Investigating Lost Remittances-Field Office Procedures and gives detailed instructions depending on the type of remittance submitted.
Summary of Changes
GN 02403.150 Policy for Lost Remittances
All acronyms are spelled out for clarification and capitalization’s inserted where appropriate. The language is updated and clarifies procedure.
This section explains SSA operating policy when remittances are lost after they are submitted to SSA. Section B.3, Investigating non-cash lost remittances gives detailed field office (FO) instructions depending on the type of remittance submitted.
When an SSA employee receives money under their authority of his or her position, SSA has effectively received payment. Once payment is established, the debtor's account is credited. The processing timeframe is based on the Remittance and Accounting Unit (RAU). The money is deposited when the remittance is received with the coupon and scanned in the RAU.
For cash remittances, acceptable proof of payment is an automated Debt Management System (DMS) receipt or SSA-1395-BK manual receipt.
The FO must purchase a money order or cashier's check for the cash before forwarding the remittance to the Mid Atlantic Program Service Center (MATPSC) see GN
02403.009. The loss of cash, check or money order in this situation does not alter the fact that the person has remitted the money to SSA and has terminated responsibility for repayment of that part of the overpayment. With proper proof of payment, the individual's overpayment may be credited; however, the trust fund will not be credited until it has been established that SSA negotiated the check or money order with the assigned receipt number. If the check does not process with the receipt, the FO receives an unverified alert. If the money order or check purchased by the FO has been lost, follow the lost remittance procedures in GN
SSA accepts noncash remittances of checks, bank drafts, cashier's checks, and money orders. For non-cash remittances, acceptable proof of payment is an automated DMS receipt or SSA-1395-BK receipt and
the copy (front and back) of a cancelled check, bank draft, cashier's check, or money order.
For noncash remittances, the remittance may not be applied to the overpayment until the confirmed deposit ticket containing the check, money order, bank draft, or cashier's check, has been received by the MATPSC. The trust fund will not be credited until it has been established that SSA negotiated the check, bank draft, cashier's check, or money order with the assigned receipt number.
See related instructions:
GN 02405.300 Returned benefit checks voided under limited payability
GN 02403.155 Investigating lost remittances FO procedure
GN 02403.050 Unverified Alert Process - Remittances
GN 02403.155 Investigating Lost Remittances-FO Procedure
The first step in the investigation of the loss of noncash remittances is to determine if the check, bank draft, cashier's check or money order was presented for payment and, if negotiated, who endorsed it. In most cases, it is expected that development will resolve the problem by establishing that the remittance was not lost or by securing a second remittance from the individual. In such cases, the MATPSC will be advised of the results of the development and requested to take the necessary action to credit the refund to the overpayment. MATPSC can be contacted via e-mail if the check was negotiated at: ||PHI ARC PCO RDDB DMS. Once the MATPSC is notified, the FO requires no further action. For more information about investigating lost remittances see, GN 02403.155-Investigating Lost Remittances-FO Procedure.
If the check, bank draft, money order or cashier's check is lost a replacement should be requested. If investigation of the lost remittance neither establishes payment to the Administration nor results in a second remittance from the individual it does not permit crediting the overpayment with the remittance, the matter will not be referred to the MATPSC.
If the check, bank draft, cashier's check or money order does not process with the receipt, the FO receives an unverified alert. An SSA-1395 BK or automated FO receipt showing remitance os a check, bank draft, cashier's check, or money order payable to SSA wit the assigned receipt number does not establish that the amount written on the receipt was actually credited to SS. If the money order or cashier's check purchased by the FO has been lost, follow the lost remittance procedures in GN
NOTE: These instructions will also apply if a remittance instrument is received, but has been destroyed.