You still need to pay your monthly bills if you have your hours reduced or you have temporarily or permanently lost your job. That’s where the unemployment benefits come into place.
In this article, we’ll discuss how Netspend unemployment benefits work along with the eligibility criteria and sign-up process.
So, let’s get started.
- What are Unemployment Benefits?
- How Does Netspend Come in?
- Unemployment Benefits: Eligibility Criteria
- How Is Netspend Helpful to Get Unemployment Benefits?
- Why Should You Use Netspend for Your Unemployment Benefits?
What are Unemployment Benefits?
A portion of the taxes that companies pay against their payrolls is known as unemployment insurance. It’s used to cover the employees of a company if they become unemployed. Registered companies need to pay a specific percentage of their employees’ pay in terms of state unemployment funds.
The unemployment insurance benefits help unemployed people for a limited period while they’re searching for a new job. In most states, unemployed people get these benefits for 26 weeks.
However, the federal government has the authority to extend this period. For instance, this period was increased back in 2008 to 99 weeks because of the global financial crisis.
How Does Netspend Come in?
Netspend is a prepaid debit card company that offers both Visa and Mastercard prepaid debit cards. You can use the Netspend prepaid debit card in any place where regular credit or debit cards are accepted.
Netspend allows you to get your state unemployment funds directly deposited into your account up to 2 days earlier than the traditional banks. You can use any Netspend prepaid card to opt for this feature to manage your finances efficiently.
The Netspend Visa Prepaid Mastercard is issued by MetaBank, and it’s also licensed by Visa USA inc. On the other hand, the Netspend Prepaid Mastercard is also issued by MetaBank, but it’s licensed by Mastercard International Incorporated.
The Netspend and Skylight have federally registered U.S service marks of the Netspend corporation.
Unemployment Benefits: Eligibility Criteria
It’s important to note that not all unemployed people can get unemployment benefits. You can qualify for this program if you fulfill the following:
- You won’t be eligible for this program if you had quit your job yourself.
- You meet the wage and work requirements issued by your state. Most states look at your 12 to 24 months of work history.
- You must be willing and ready to work, and you must also be actively searching for a new job.
- You must also meet the additional state requirements. You can look at the guideline of your state’s unemployment benefits for more information.
How Can I Become Eligible for Unemployment Benefits?
The eligibility criteria of every state are different. However, the following are some common steps that you can take to become eligible for unemployment benefits.
- You’ll need to go to your local unemployment claims office if requested.
- You’ll need to report any job offers declined, accepted, or received.
- You’ll need to provide information regarding the earnings you receive from any work you performed.
- You’ll need to prove that you’re actively searching for a job and willing to work.
- You’ll need to file biweekly or weekly claims by email or phone.
The CARES Act
Many people not only in the United States but also across the globe lost their jobs due to the coronavirus pandemic. To help these unemployed people, the government of the United States passed the CARES (Coronavirus Aid, Relief, and Economy Security) Act.
This act helped many people, who couldn’t qualify for the traditional unemployment benefits criteria, to get financial assistance from the PUA (Pandemic Unemployment Assistance) program.
The eligibility criteria of the PUA program are as follows:
- You can’t continue working because you need to care for one or more of your family members because of COVID-19.
- You can’t work because of the risk of COVID-19 exposure.
- You’re spending time in quarantine.
- You lost income because of COVID-19, and you were self-employed.
- Your employer reduced your working hours.
- Your employer temporarily or permanently laid you off.
The CARES Act allowed gig economy workers and self-employed people to receive unemployment benefits for the first time.
How Is Netspend Helpful to Get Unemployment Benefits?
As mentioned earlier, you can sign up for the Netspend direct deposit program using your prepaid card to get your unemployment benefits directly deposited into your card account.
You’ll need to open a new account on Netspend to get your prepaid debit card and receive a direct deposit of your unemployment benefits.
Why Should You Use Netspend for Your Unemployment Benefits?
Netspend allows you to access your money sooner than your traditional bank account. You won’t need to wait for the paper check that takes some time to arrive via mail. The Netspend card account allows you to receive the money of your unemployment benefits up to 2 days early with a direct deposit.
You can also use this feature for your government benefits or salary check. The company also offers Netspend Premier that you can use to save almost 50 percent on a monthly fee. The following are some other reasons why you should use a Netspend card account to receive your unemployment benefits.
1. Your Check Can Get Lost.
It’s possible to use a paper check, but you won’t need to deal with the hassle of keeping your paper check safe with a Netspend prepaid card. You only need to set up a direct deposit, and your money will be directly deposited into your account.
2. Avoid the Bank and Save Time.
You will receive your money up to 2 days earlier than a traditional bank if you use the Netspend Direct deposit facility. It’ll also save you a whole lot of time.
3. No Need to Carry Cash.
You won’t need to carry cash as your fund will automatically be added to your account. You can use the direct deposit facility of Netspend even if you don’t have a bank account.
How to Set Up Netspend Direct Deposit for Unemployment Benefits?
First, you need to find out what important information your local unemployment office requires. It varies from state to state, but it generally includes:
- Your basic personal details, including your Netspend account number
- The address, name, and phone number of your financial institution will be Netspend in this case.
- The routing number of your bank.
You might also need to provide your local unemployment office with your social security number. Once you have all the required information in place, you’ll need to submit it to your local unemployment office.
The office will set up your direct deposits, and you’ll start receiving your unemployment benefits in your Netspend account.