---
kind: "section"
citation: "42 U.S.C. § 1007"
title: "42"
title_heading: "The Public Health and Welfare"
number: "1007"
heading: "Representative payees"
release: "119-102"
url: "https://uscodex.org/usc/42/1007"
units:
  - "Chapter 7 — Social Security"
  - "Subchapter VIII — Special Benefits for Certain World War Ii Veterans"
---

# §1007. Representative payees

- (a) **In general—** If the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security determines that the interest of any [qualified individual](/usc/42/18032.md?p=f-1-A) under this subchapter would be served thereby, payment of the [qualified individual](/usc/42/18032.md?p=f-1-A)’s benefit under this subchapter may be made, regardless of the legal competency or incompetency of the [qualified individual](/usc/42/18032.md?p=f-1-A), either directly to the [qualified individual](/usc/42/18032.md?p=f-1-A), or for his or her use and benefit, to another [person](/usc/42/1301.md?p=a-3) (the meaning of which term, for purposes of this section, [includes](/usc/42/1301.md?p=b) an organization) with respect to whom the requirements of [subsection (b)](#b) have been met (in this section referred to as the [qualified individual](/usc/42/18032.md?p=f-1-A)’s “[representative](/usc/42/3058f.md?p=5) payee”). If the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security determines that a [representative](/usc/42/3058f.md?p=5) payee has misused any benefit paid to the [representative](/usc/42/3058f.md?p=5) payee pursuant to this section, 405(j) of this title, or [section 1383(a)(2) of this title](/usc/42/1383.md?p=a-2), the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall promptly revoke the [person](/usc/42/1301.md?p=a-3)’s designation as the [qualified individual](/usc/42/18032.md?p=f-1-A)’s [representative](/usc/42/3058f.md?p=5) payee under this subsection, and shall make payment to an alternative [representative](/usc/42/3058f.md?p=5) payee or, if the interest of the [qualified individual](/usc/42/18032.md?p=f-1-A) under this subchapter would be served thereby, to the [qualified individual](/usc/42/18032.md?p=f-1-A).
- (b) **Examination of fitness of prospective representative payee—**
  - (1) Any determination under [subsection (a)](#a) to pay the benefits of a [qualified individual](/usc/42/18032.md?p=f-1-A) to a [representative](/usc/42/3058f.md?p=5) payee shall be made on the basis of—
    - (A) an investigation by the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security of the [person](/usc/42/1301.md?p=a-3) to serve as [representative](/usc/42/3058f.md?p=5) payee, which shall be conducted in advance of the determination and shall, to the extent practicable, include a face-to-face interview with the [person](/usc/42/1301.md?p=a-3) (or, in the case of an organization, a [representative](/usc/42/3058f.md?p=5) of the organization); and
    - (B) adequate evidence that the arrangement is in the interest of the [qualified individual](/usc/42/18032.md?p=f-1-A).
  - (2) As part of the investigation referred to in [paragraph (1)](#b-1), the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall—
    - (A) require the [person](/usc/42/1301.md?p=a-3) being investigated to submit documented proof of the identity of the [person](/usc/42/1301.md?p=a-3);
    - (B) in the case of a [person](/usc/42/1301.md?p=a-3) who has a [social](/usc/42/1397j.md?p=20) security account number issued for purposes of the [program](/usc/42/274l–1.md?p=4) under subchapter II or an employer identification number issued for purposes of the Internal Revenue Code of 1986, verify the number;
    - (C) determine whether the [person](/usc/42/1301.md?p=a-3) has been convicted of a [violation](/usc/42/2000e–16a.md?p=c) of section [408](/usc/42/408.md), [1011](/usc/42/1011.md), or [1383a](/usc/42/1383a.md) of this title;
    - (D) obtain information concerning whether such [person](/usc/42/1301.md?p=a-3) has been convicted of any other offense under Federal or [State](/usc/42/1397n–12.md?p=6) law which resulted in imprisonment for more than 1 year;
    - (E) obtain information concerning whether such [person](/usc/42/1301.md?p=a-3) is a [person](/usc/42/1301.md?p=a-3) described in [section 1004(a)(2) of this title](/usc/42/1004.md?p=a-2);
    - (F) determine whether payment of benefits to the [person](/usc/42/1301.md?p=a-3) in the capacity as [representative](/usc/42/3058f.md?p=5) payee has been revoked or terminated pursuant to this section, [section 405(j) of this title](/usc/42/405.md?p=j), or [section 1383(a)(2)(A)(iii) of this title](/usc/42/1383.md?p=a-2-A-iii) by reason of misuse of [funds](/usc/42/12854.md?p=3) paid as benefits under this subchapter, subchapter II, or XVI, respectively, and
    - (G) determine whether such [person](/usc/42/1301.md?p=a-3) has been convicted (and not subsequently exonerated), under Federal or [State](/usc/42/1397n–12.md?p=6) law, of a felony provided under [paragraph (4)](#b-4), or of an attempt or a conspiracy to commit such a felony.
  - (3) Notwithstanding the provisions of [section 552a of title 5](/usc/5/552a.md) or any other provision of Federal or [State](/usc/42/1397n–12.md?p=6) law (other than section 6103 of the Internal Revenue Code of 1986 and [section 1306(c) of this title](/usc/42/1306.md?p=c)), the [Commissioner](/usc/42/12302.md?p=1) shall furnish any Federal, [State](/usc/42/1397n–12.md?p=6), or local [law enforcement](/usc/42/1397j.md?p=13) officer, upon the written request of the officer, with the current address, [social](/usc/42/1397j.md?p=20) security account number, and photograph (if applicable) of any [person](/usc/42/1301.md?p=a-3) investigated under this subsection, if the officer furnishes the [Commissioner](/usc/42/12302.md?p=1) with the name of such [person](/usc/42/1301.md?p=a-3) and such other identifying information as may reasonably be required by the [Commissioner](/usc/42/12302.md?p=1) to establish the unique identity of such [person](/usc/42/1301.md?p=a-3), and notifies the [Commissioner](/usc/42/12302.md?p=1) that—
    - (A) such [person](/usc/42/1301.md?p=a-3) is described in [section 1004(a)(2) of this title](/usc/42/1004.md?p=a-2),
    - (B) such [person](/usc/42/1301.md?p=a-3) has information that is necessary for the officer to conduct the officer’s official duties, and
    - (C) the location or apprehension of such [person](/usc/42/1301.md?p=a-3) is within the officer’s official duties.
  - (4) The felony crimes provided under this paragraph, whether an offense under [State](/usc/42/1397n–12.md?p=6) or Federal law, are the following:
    - (A) Human trafficking, [including](/usc/42/1301.md?p=b) as prohibited under sections [1590](/usc/18/1590.md) and [1591](/usc/18/1591.md) of title 18.
    - (B) False imprisonment, [including](/usc/42/1301.md?p=b) as prohibited under [section 1201 of title 18](/usc/18/1201.md).
    - (C) Kidnapping, [including](/usc/42/1301.md?p=b) as prohibited under [section 1201 of title 18](/usc/18/1201.md).
    - (D) Rape and sexual assault, [including](/usc/42/1301.md?p=b) as prohibited under sections [2241](/usc/18/2241.md), [2242](/usc/18/2242.md), [2243](/usc/18/2243.md), and [2244](/usc/18/2244.md) of title 18.
    - (E) First-degree homicide, [including](/usc/42/1301.md?p=b) as prohibited under [section 1111 of title 18](/usc/18/1111.md).
    - (F) Robbery, [including](/usc/42/1301.md?p=b) as prohibited under [section 2111 of title 18](/usc/18/2111.md).
    - (G) Fraud to obtain access to government assistance, [including](/usc/42/1301.md?p=b) as prohibited under sections [287](/usc/18/287.md), [1001](/usc/18/1001.md), and [1343](/usc/18/1343.md) of title 18.
    - (H) Fraud by scheme, [including](/usc/42/1301.md?p=b) as prohibited under [section 1343 of title 18](/usc/18/1343.md).
    - (I) Theft of government [funds](/usc/42/12854.md?p=3) or property, [including](/usc/42/1301.md?p=b) as prohibited under [section 641 of title 18](/usc/18/641.md).
    - (J) [Abuse](/usc/42/1397j.md?p=1) or [neglect](/usc/42/1397j.md?p=16), [including](/usc/42/1301.md?p=b) as prohibited under sections [111](/usc/18/111.md), [113](/usc/18/113.md), [114](/usc/18/114.md), [115](/usc/18/115.md), [116](/usc/18/116.md), or [117](/usc/18/117.md) of title 18.
    - (K) Forgery, [including](/usc/42/1301.md?p=b) as prohibited under section 642 and [chapter 25](/usc/42/ch25.md) (except section 512) of [title 18](/usc/18.md).
    - (L) Identity theft or identity fraud, [including](/usc/42/1301.md?p=b) as prohibited under sections [1028](/usc/18/1028.md) and [1028A](/usc/18/1028A.md) of title 18.

    The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may promulgate regulations to provide for additional felony crimes under this clause.

  - (5)
    - (A) For the purpose of carrying out the activities required under [paragraph (2)](#b-2) as part of the investigation under [paragraph (1)(A)](#b-1-A), the [Commissioner](/usc/42/12302.md?p=1) may conduct a background check of any individual seeking to serve as a [representative](/usc/42/3058f.md?p=5) payee under this subsection and may disqualify from service as a [representative](/usc/42/3058f.md?p=5) payee any such individual who fails to [grant](/usc/42/1397j.md?p=10) permission for the [Commissioner](/usc/42/12302.md?p=1) to conduct such a background check.
    - (B) The [Commissioner](/usc/42/12302.md?p=1) may revoke certification of payment of benefits under this subsection to any individual serving as a [representative](/usc/42/3058f.md?p=5) payee on or after January 1, 2019 who fails to [grant](/usc/42/1397j.md?p=10) permission for the [Commissioner](/usc/42/12302.md?p=1) to conduct such a background check.
- (c) **Requirement for maintaining lists of undesirable payees—** The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall establish and maintain lists which shall be updated periodically and which shall be in a form that renders such lists available to the servicing [offices](/usc/42/3058f.md?p=1) of the [Social](/usc/42/1397j.md?p=20) Security [Administration](/usc/42/1301.md?p=a-10). The lists shall consist of—
  - (1) the names and (if issued) [social](/usc/42/1397j.md?p=20) security account numbers or employer identification numbers of all [persons](/usc/42/1301.md?p=a-3) with respect to whom, in the capacity of [representative](/usc/42/3058f.md?p=5) payee, the payment of benefits has been revoked or terminated under this section, [section 405(j) of this title](/usc/42/405.md?p=j), or [section 1383(a)(2)(A)(iii) of this title](/usc/42/1383.md?p=a-2-A-iii) by reason of misuse of [funds](/usc/42/12854.md?p=3) paid as benefits under this subchapter, subchapter II, or XVI, respectively; and
  - (2) the names and (if issued) [social](/usc/42/1397j.md?p=20) security account numbers or employer identification numbers of all [persons](/usc/42/1301.md?p=a-3) who have been convicted of a [violation](/usc/42/2000e–16a.md?p=c) of section [408](/usc/42/408.md), [1011](/usc/42/1011.md), or [1383a](/usc/42/1383a.md) of this title.
- (d) **Persons ineligible to serve as representative payees—**
  - (1) **In general—** The benefits of a [qualified individual](/usc/42/18032.md?p=f-1-A) may not be paid to any other [person](/usc/42/1301.md?p=a-3) pursuant to this section if—
    - (A) the [person](/usc/42/1301.md?p=a-3) has been convicted of a [violation](/usc/42/2000e–16a.md?p=c) of section [408](/usc/42/408.md), [1011](/usc/42/1011.md), or [1383a](/usc/42/1383a.md) of this title;
    - (B) except as provided in [paragraph (2)](#d-2), payment of benefits to the [person](/usc/42/1301.md?p=a-3) in the capacity of [representative](/usc/42/3058f.md?p=5) payee has been revoked or terminated under this section, [section 405(j) of this title](/usc/42/405.md?p=j), or [section 1383(a)(2)(A)(ii)](/usc/42/1383.md?p=a-2-A-ii)[^1] of this title by reason of misuse of [funds](/usc/42/12854.md?p=3) paid as benefits under this subchapter, subchapter II, or subchapter XVI, respectively;
    - (C) except as provided in [paragraph (2)(B)](#d-2-B), the [person](/usc/42/1301.md?p=a-3) is a creditor of the [qualified individual](/usc/42/18032.md?p=f-1-A) and provides the [qualified individual](/usc/42/18032.md?p=f-1-A) with goods or services for consideration;
    - (D) such [person](/usc/42/1301.md?p=a-3) has previously been convicted as described in [subsection (b)(2)(D)](#b-2-D), unless the [Commissioner](/usc/42/12302.md?p=1) determines that such payment would be appropriate notwithstanding such conviction;
    - (E) such [person](/usc/42/1301.md?p=a-3) is a [person](/usc/42/1301.md?p=a-3) described in [section 1004(a)(2) of this title](/usc/42/1004.md?p=a-2),
    - (F) except as provided in [paragraph (2)(D)](#d-2-D), such [person](/usc/42/1301.md?p=a-3) has previously been convicted (and not subsequently exonerated) as described in [subsection (b)(2)(G)](#b-2-G), or
    - (G) such [person](/usc/42/1301.md?p=a-3)’s benefits under this subchapter, subchapter II, or subchapter XVI are certified for payment to a [representative](/usc/42/3058f.md?p=5) payee during the period for which the individual’s benefits would be certified for payment to another [person](/usc/42/1301.md?p=a-3).
  - (2) **Exemptions—**
    - (A) The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may prescribe circumstances under which the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may [grant](/usc/42/1397j.md?p=10) an exemption from [paragraph (1)](#d-1) to any [person](/usc/42/1301.md?p=a-3) on a case-by-case basis if the exemption is in the best interest of the [qualified individual](/usc/42/18032.md?p=f-1-A) whose benefits would be paid to the [person](/usc/42/1301.md?p=a-3) pursuant to this section.
    - (B) [Paragraph (1)(C)](#d-1-C) shall not apply with respect to any [person](/usc/42/1301.md?p=a-3) who is a creditor referred to in such paragraph if the creditor is—
      - (i) a relative of the [qualified individual](/usc/42/18032.md?p=f-1-A) and the relative resides in the same household as the [qualified individual](/usc/42/18032.md?p=f-1-A);
      - (ii) a legal guardian or legal [representative](/usc/42/3058f.md?p=5) of the individual;
      - (iii) a [facility](/usc/42/11049.md?p=4) that is licensed or certified as a care [facility](/usc/42/11049.md?p=4) under the law of the political jurisdiction in which the [qualified individual](/usc/42/18032.md?p=f-1-A) resides;
      - (iv) a [person](/usc/42/1301.md?p=a-3) who is an [administrator](/usc/42/4005.md?p=1), [owner](/usc/42/13641.md?p=4), or [employee](/usc/42/1320a–7h.md?p=e-7) of a [facility](/usc/42/11049.md?p=4) referred to in [clause (iii)](#d-2-B-iii), if the [qualified individual](/usc/42/18032.md?p=f-1-A) resides in the [facility](/usc/42/11049.md?p=4), and the payment to the [facility](/usc/42/11049.md?p=4) or the [person](/usc/42/1301.md?p=a-3) is made only after the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security has made a good faith effort to locate an alternative [representative](/usc/42/3058f.md?p=5) payee to whom payment would serve the best interests of the [qualified individual](/usc/42/18032.md?p=f-1-A); or
      - (v) a [person](/usc/42/1301.md?p=a-3) who is determined by the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security, on the basis of written findings and pursuant to procedures prescribed by the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security, to be acceptable to serve as a [representative](/usc/42/3058f.md?p=5) payee.
    - (C) The procedures referred to in [subparagraph (B)(v)](#d-2-B-v) shall require the [person](/usc/42/1301.md?p=a-3) who will serve as [representative](/usc/42/3058f.md?p=5) payee to establish, to the satisfaction of the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security, that—
      - (i) the [person](/usc/42/1301.md?p=a-3) poses no risk to the [qualified individual](/usc/42/18032.md?p=f-1-A);
      - (ii) the financial relationship of the [person](/usc/42/1301.md?p=a-3) to the [qualified individual](/usc/42/18032.md?p=f-1-A) poses no substantial conflict of interest; and
      - (iii) no other more suitable [representative](/usc/42/3058f.md?p=5) payee can be found.
    - (D)
      - (i) With respect to any [person](/usc/42/1301.md?p=a-3) described in clause (II)—
        - (I) [subsection (b)(2)(G)](#b-2-G) shall not apply; and
        - (II) the [Commissioner](/usc/42/12302.md?p=1) may [grant](/usc/42/1397j.md?p=10) an exemption from the provisions of [paragraph (1)(F)](#d-1-F) if the [Commissioner](/usc/42/12302.md?p=1) determines that such exemption is in the best interest of the individual entitled to benefits.
      - (ii) A [person](/usc/42/1301.md?p=a-3) is described in this clause if the [person](/usc/42/1301.md?p=a-3)—
        - (I) is the custodial spouse of the beneficiary for whom the [person](/usc/42/1301.md?p=a-3) applies to serve;
        - (II) is the custodial court appointed guardian of the beneficiary for whom the [person](/usc/42/1301.md?p=a-3) applies to serve; or
        - (III) received a presidential or gubernatorial pardon for the relevant conviction.
- (e) **Deferral of payment pending appointment of representative payee—**
  - (1) **In general—** Subject to [paragraph (2)](#e-2), if the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security makes a determination described in the first sentence of [subsection (a)](#a) with respect to any [qualified individual](/usc/42/18032.md?p=f-1-A)’s benefit and determines that direct payment of the benefit to the [qualified individual](/usc/42/18032.md?p=f-1-A) would [cause](/usc/42/9908.md?p=c-2) substantial harm to the [qualified individual](/usc/42/18032.md?p=f-1-A), the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may defer (in the case of initial entitlement) or suspend (in the case of existing entitlement) direct payment of the benefit to the [qualified individual](/usc/42/18032.md?p=f-1-A), until such time as the selection of a [representative](/usc/42/3058f.md?p=5) payee is made pursuant to this section.
  - (2) **Time limitation—**
    - (A) **In general—** Except as provided in [subparagraph (B)](#e-2-B), any deferral or suspension of direct payment of a benefit pursuant to [paragraph (1)](#e-1) shall be for a period of not more than 1 month.
    - (B) **Exception in the case of incompetency—** [Subparagraph (A)](#e-2-A) shall not apply in any case in which the [qualified individual](/usc/42/18032.md?p=f-1-A) is, as of the date of the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security’s determination, legally incompetent under the laws of the jurisdiction in which the individual resides.
  - (3) **Payment of retroactive benefits—** Payment of any benefits which are deferred or suspended pending the selection of a [representative](/usc/42/3058f.md?p=5) payee shall be made to the [qualified individual](/usc/42/18032.md?p=f-1-A) or the [representative](/usc/42/3058f.md?p=5) payee as a [single](/usc/42/2304.md?p=m) sum or over such period of time as the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security determines is in the best interest of the [qualified individual](/usc/42/18032.md?p=f-1-A).
- (f) **Hearing—** Any [qualified individual](/usc/42/18032.md?p=f-1-A) who is dissatisfied with a determination by the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security to make payment of the [qualified individual](/usc/42/18032.md?p=f-1-A)’s benefit to a [representative](/usc/42/3058f.md?p=5) payee under [subsection (a)](#a) of this section or with the designation of a particular [person](/usc/42/1301.md?p=a-3) to serve as [representative](/usc/42/3058f.md?p=5) payee shall be entitled to a hearing by the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security to the same extent as is provided in [section 1009(a) of this title](/usc/42/1009.md?p=a), and to judicial review of the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security’s final decision as is provided in [section 1009(b) of this title](/usc/42/1009.md?p=b).
- (g) **Notice requirements—**
  - (1) **In general—** In advance, to the extent practicable, of the payment of a [qualified individual](/usc/42/18032.md?p=f-1-A)’s benefit to a [representative](/usc/42/3058f.md?p=5) payee under [subsection (a)](#a), the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall provide written notice of the [Commissioner](/usc/42/12302.md?p=1)’s initial determination to so make the payment. The notice shall be provided to the [qualified individual](/usc/42/18032.md?p=f-1-A), except that, if the [qualified individual](/usc/42/18032.md?p=f-1-A) is legally incompetent, then the notice shall be provided solely to the legal guardian or legal [representative](/usc/42/3058f.md?p=5) of the [qualified individual](/usc/42/18032.md?p=f-1-A).
  - (2) **Specific requirements—** Any notice required by [paragraph (1)](#g-1) shall be clearly written in language that is easily understandable to the reader, shall identify the [person](/usc/42/1301.md?p=a-3) to be designated as the [qualified individual](/usc/42/18032.md?p=f-1-A)’s [representative](/usc/42/3058f.md?p=5) payee, and shall explain to the reader the right under [subsection (f)](#f) of the [qualified individual](/usc/42/18032.md?p=f-1-A) or of the [qualified individual](/usc/42/18032.md?p=f-1-A)’s legal guardian or legal [representative](/usc/42/3058f.md?p=5)—
    - (A) to appeal a determination that a [representative](/usc/42/3058f.md?p=5) payee is necessary for the [qualified individual](/usc/42/18032.md?p=f-1-A);
    - (B) to appeal the designation of a particular [person](/usc/42/1301.md?p=a-3) to serve as the [representative](/usc/42/3058f.md?p=5) payee of the [qualified individual](/usc/42/18032.md?p=f-1-A); and
    - (C) to review the evidence upon which the designation is based and to submit additional evidence.
- (h) **Accountability monitoring—**
  - (1) **In general—** In any case where payment under this subchapter is made to a [person](/usc/42/1301.md?p=a-3) other than the [qualified individual](/usc/42/18032.md?p=f-1-A) entitled to the payment, the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall establish a system of accountability monitoring under which the [person](/usc/42/1301.md?p=a-3) shall report not less often than annually with respect to the use of the payments. The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall establish and implement statistically valid procedures for reviewing the reports in order to identify instances in which [persons](/usc/42/1301.md?p=a-3) are not properly using the payments.
  - (2) **Special reports—** Notwithstanding [paragraph (1)](#h-1), the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may require a report at any time from any [person](/usc/42/1301.md?p=a-3) receiving payments on behalf of a [qualified individual](/usc/42/18032.md?p=f-1-A), if the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security has reason to believe that the [person](/usc/42/1301.md?p=a-3) receiving the payments is misusing the payments.
  - (3) **Eligibility for exemption—**
    - (A) [Paragraph (1)](#h-1) shall not apply in any case where the other [person](/usc/42/1301.md?p=a-3) to whom such payment is made is the spouse of the individual entitled to such payment.
    - (B) The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall establish and implement procedures as necessary for the [Commissioner](/usc/42/12302.md?p=1) to determine the eligibility of such parties for the exemption provided in [subparagraph (A)](#h-3-A). The [Commissioner](/usc/42/12302.md?p=1) shall prescribe such regulations as may be necessary to determine eligibility for such exemption.
  - (4) **Authority to redirect delivery of benefit payments when a representative payee fails to provide required accounting—** In any case in which the [person](/usc/42/1301.md?p=a-3) described in paragraph [(1)](#h-1) or [(2)](#h-2) receiving benefit payments on behalf of a [qualified individual](/usc/42/18032.md?p=f-1-A) fails to submit a report required by the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security under paragraph [(1)](#h-1) or [(2)](#h-2), the [Commissioner](/usc/42/12302.md?p=1) may, after furnishing notice to such [person](/usc/42/1301.md?p=a-3) and the [qualified individual](/usc/42/18032.md?p=f-1-A), require that such [person](/usc/42/1301.md?p=a-3) appear in [person](/usc/42/1301.md?p=a-3) at a [United States](/usc/42/1301.md?p=a-2) Government [facility](/usc/42/11049.md?p=4) designated by the [Social](/usc/42/1397j.md?p=20) Security [Administration](/usc/42/1301.md?p=a-10) as serving the area in which the [qualified individual](/usc/42/18032.md?p=f-1-A) resides in order to receive such benefit payments.
  - (5) **Maintaining lists of payees—** The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall maintain lists which shall be updated periodically of—
    - (A) the name, address, and (if issued) the [social](/usc/42/1397j.md?p=20) security account number or employer identification number of each [representative](/usc/42/3058f.md?p=5) payee who is receiving benefit payments pursuant to this section, [section 405(j) of this title](/usc/42/405.md?p=j), or [section 1383(a)(2) of this title](/usc/42/1383.md?p=a-2); and
    - (B) the name, address, and [social](/usc/42/1397j.md?p=20) security account number of each individual for whom each [representative](/usc/42/3058f.md?p=5) payee is reported to be providing services as [representative](/usc/42/3058f.md?p=5) payee pursuant to this section, [section 405(j) of this title](/usc/42/405.md?p=j), or [section 1383(a)(2) of this title](/usc/42/1383.md?p=a-2).
  - (6) **Maintaining lists of agencies—** The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall maintain lists, which shall be updated periodically, of [public agencies](/usc/42/11851.md?p=8) and community-based nonprofit [social](/usc/42/1397j.md?p=20) service [agencies](/usc/42/1397n–12.md?p=1) which are qualified to serve as [representative](/usc/42/3058f.md?p=5) payees pursuant to this section and which are located in the jurisdiction in which any [qualified individual](/usc/42/18032.md?p=f-1-A) resides.
- (i) **Restitution—** In any case where the negligent failure of the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security to investigate or monitor a [representative](/usc/42/3058f.md?p=5) payee results in misuse of benefits by the [representative](/usc/42/3058f.md?p=5) payee, the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall make payment to the [qualified individual](/usc/42/18032.md?p=f-1-A) or the individual’s alternative [representative](/usc/42/3058f.md?p=5) payee of an amount equal to the misused benefits. In any case in which a [representative](/usc/42/3058f.md?p=5) payee that—
  - (A) is not an individual; or
  - (B) is an individual who, for any month during a period when misuse occurs, serves 15 or more individuals who are beneficiaries under this subchapter, subchapter II, subchapter XVI, or any combination of such subchapters;

  misuses all or part of an individual’s benefit paid to such [representative](/usc/42/3058f.md?p=5) payee, the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall pay to the beneficiary or the beneficiary’s alternative [representative](/usc/42/3058f.md?p=5) payee an amount equal to the amount of such benefit so misused. The provisions of this paragraph are subject to the limitations of [subsection (l)(2)](#l-2). The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security shall make a good faith effort to obtain restitution from the terminated [representative](/usc/42/3058f.md?p=5) payee.

- (j) **Misuse of benefits—** For purposes of this subchapter, misuse of benefits by a [representative](/usc/42/3058f.md?p=5) payee occurs in any case in which the [representative](/usc/42/3058f.md?p=5) payee receives payment under this subchapter for the use and benefit of another [person](/usc/42/1301.md?p=a-3) under this subchapter and converts such payment, or any part thereof, to a use other than for the use and benefit of such [person](/usc/42/1301.md?p=a-3). The [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may prescribe by regulation the meaning of the term “use and benefit” for purposes of this subsection.
- (k) **Periodic onsite review—**
  - (1) **In general—** In addition to such other reviews of [representative](/usc/42/3058f.md?p=5) payees as the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security may otherwise conduct, the [Commissioner](/usc/42/12302.md?p=1) may provide for the periodic onsite review of any [person](/usc/42/1301.md?p=a-3) or [agency](/usc/42/1397n–12.md?p=1) that receives the benefits payable under this subchapter (alone or in combination with benefits payable under subchapter II or subchapter XVI) to another individual pursuant to the appointment of such [person](/usc/42/1301.md?p=a-3) or [agency](/usc/42/1397n–12.md?p=1) as a [representative](/usc/42/3058f.md?p=5) payee under this section, [section 405(j) of this title](/usc/42/405.md?p=j), or [section 1383(a)(2) of this title](/usc/42/1383.md?p=a-2) in any case in which—
    - (A) the [representative](/usc/42/3058f.md?p=5) payee is a [person](/usc/42/1301.md?p=a-3) who serves in that capacity with respect to 15 or more such individuals; or
    - (B) the [representative](/usc/42/3058f.md?p=5) payee is an [agency](/usc/42/1397n–12.md?p=1) that serves in that capacity with respect to 50 or more such individuals.
  - (2) **Report—** Within 120 days after the end of each fiscal year, the [Commissioner](/usc/42/12302.md?p=1) shall submit to the Committee on Ways and Means of the House of [Representatives](/usc/42/3058f.md?p=5) and the Committee on Finance of the Senate a report on the results of periodic onsite reviews conducted during the fiscal year pursuant to [paragraph (1)](#k-1) and of any other reviews of [representative](/usc/42/3058f.md?p=5) payees conducted during such fiscal year in connection with benefits under this subchapter. Each such report shall describe in detail all problems identified in such reviews and any corrective action taken or planned to be taken to correct such problems, and shall include—
    - (A) the number of such reviews;
    - (B) the results of such reviews;
    - (C) the number of cases in which the [representative](/usc/42/3058f.md?p=5) payee was changed and why;
    - (D) the number of cases involving the exercise of expedited, targeted oversight of the [representative](/usc/42/3058f.md?p=5) payee by the [Commissioner](/usc/42/12302.md?p=1) conducted upon receipt of an allegation of misuse of [funds](/usc/42/12854.md?p=3), failure to pay a vendor, or a similar irregularity;
    - (E) the number of cases discovered in which there was a misuse of [funds](/usc/42/12854.md?p=3);
    - (F) how any such cases of misuse of [funds](/usc/42/12854.md?p=3) were dealt with by the [Commissioner](/usc/42/12302.md?p=1);
    - (G) the final disposition of such cases of misuse of [funds](/usc/42/12854.md?p=3), [including](/usc/42/1301.md?p=b) any criminal penalties imposed; and
    - (H) such other information as the [Commissioner](/usc/42/12302.md?p=1) deems appropriate.
- (l) **Liability for misused amounts—**
  - (1) **In general—** If the [Commissioner](/usc/42/12302.md?p=1) of [Social](/usc/42/1397j.md?p=20) Security or a court of competent jurisdiction determines that a [representative](/usc/42/3058f.md?p=5) payee that is not a Federal, [State](/usc/42/1397n–12.md?p=6), or [local government](/usc/42/8401a.md) [agency](/usc/42/1397n–12.md?p=1) has misused all or part of a [qualified individual](/usc/42/18032.md?p=f-1-A)’s benefit that was paid to such [representative](/usc/42/3058f.md?p=5) payee under this section, the [representative](/usc/42/3058f.md?p=5) payee shall be liable for the amount misused, and such amount (to the extent not repaid by the [representative](/usc/42/3058f.md?p=5) payee) shall be treated as an overpayment of benefits under this subchapter to the [representative](/usc/42/3058f.md?p=5) payee for all purposes of this chapter and related laws pertaining to the recovery of such overpayments. Subject to [paragraph (2)](#l-2), upon recovering all or any part of such amount, the [Commissioner](/usc/42/12302.md?p=1) shall make payment of an amount equal to the recovered amount to such [qualified individual](/usc/42/18032.md?p=f-1-A) or such [qualified individual](/usc/42/18032.md?p=f-1-A)’s alternative [representative](/usc/42/3058f.md?p=5) payee.
  - (2) **Limitation—** The total of the amount paid to such individual or such individual’s alternative [representative](/usc/42/3058f.md?p=5) payee under [paragraph (1)](#l-1) and the amount paid under [subsection (i)](#i) may not exceed the total benefit amount misused by the [representative](/usc/42/3058f.md?p=5) payee with respect to such individual.

## Footnotes

[^1]: So in original. Probably should be “1383(a)(2)(A)(iii)”.

## Source credit

(Aug. 14, 1935, ch. 531, title VIII, § 807, as added Pub. L. 106–169, title II, § 251(a), Dec. 14, 1999, 113 Stat. 1846; amended Pub. L. 108–203, title I, §§ 101(b), 102(b)(2), 103(b), 105(b), 106(b), Mar. 2, 2004, 118 Stat. 495, 499, 501, 504, 506; Pub. L. 115–165, title I, § 102(b), title II, §§ 202(b), 203(b), Apr. 13, 2018, 132 Stat. 1260, 1268, 1272.)

## Notes

### Editorial Notes

### References in Text

The Internal Revenue Code of 1986, referred to in subsec. (b)(2)(B), (3), is classified generally to Title 26, Internal Revenue Code.

### Prior Provisions

For prior provisions, see note set out under section 1001 of this title.

### Amendments

2018—Subsec. (b)(2)(G). Pub. L. 115–165, § 202(b)(1)(A), added subpar. (G).

Subsec. (b)(4), (5). Pub. L. 115–165, § 202(b)(1)(B), added pars. (4) and (5).

Subsec. (d)(1)(F). Pub. L. 115–165, § 202(b)(2)(A), added subpar. (F).

Subsec. (d)(1)(G). Pub. L. 115–165, § 203(b), added subpar. (G).

Subsec. (d)(2)(D). Pub. L. 115–165, § 202(b)(2)(B), added subpar. (D).

Subsec. (h)(3) to (6). Pub. L. 115–165, § 102(b), added par. (3) and redesignated former pars. (3) to (5) as (4) to (6), respectively.

2004—Subsec. (a). Pub. L. 108–203, § 101(b)(3), substituted “for his or her use and benefit” for “for his or her benefit”.

Subsec. (b)(2)(D) to (F). Pub. L. 108–203, § 103(b)(1), added subpars. (D) and (E) and redesignated former subpar. (D) as (F).

Subsec. (b)(3). Pub. L. 108–203, § 103(b)(2), added par. (3).

Subsec. (d)(1)(D), (E). Pub. L. 108–203, § 103(b)(3), added subpars. (D) and (E).

Subsec. (h)(3) to (5). Pub. L. 108–203, § 106(b), added par. (3) and redesignated former pars. (3) and (4) as (4) and (5), respectively.

Subsec. (i). Pub. L. 108–203, § 101(b)(1), inserted second and third sentences.

Subsec. (j). Pub. L. 108–203, § 101(b)(2), added subsec. (j).

Subsec. (k). Pub. L. 108–203, § 102(b)(2), added subsec. (k).

Subsec. (l). Pub. L. 108–203, § 105(b), added subsec. (l).

### Statutory Notes and Related Subsidiaries

### Effective Date of 2018 Amendment

Amendment by section 202(b) of Pub. L. 115–165 applicable to any individual appointed to serve as a representative payee pursuant to this section on or after Jan. 1, 2019, subject to provisions relating to prior appointments, see section 202(d) of Pub. L. 115–165, set out as a note under section 405 of this title.

Amendment by section 203(b) of Pub. L. 115–165 applicable to any individual appointed to serve as a representative payee under this subchapter on or after Jan. 1, 2019, with provisions relating to prior appointments, see section 203(d) of Pub. L. 115–165, set out as a note under section 405 of this title.

### Effective Date of 2004 Amendment

Amendment by section 101(b) of Pub. L. 108–203 applicable to any case of benefit misuse by a representative payee with respect to which the Commissioner of Social Security makes the determination of misuse on or after Jan. 1, 1995, see section 101(d) of Pub. L. 108–203, set out as a note under section 405 of this title.

Amendment by section 103(b) of Pub. L. 108–203 effective on the first day of the thirteenth month beginning after Mar. 2, 2004, see section 103(d) of Pub. L. 108–203, set out as a note under section 405 of this title.

Amendment by section 105(b) of Pub. L. 108–203 applicable to benefit misuse by a representative payee in any case with respect to which the Commissioner of Social Security or a court of competent jurisdiction makes the determination of misuse after 180 days after Mar. 2, 2004, see section 105(d) of Pub. L. 108–203, set out as a note under section 405 of this title.

Amendment by section 106(b) of Pub. L. 108–203 effective 180 days after Mar. 2, 2004, see section 106(d) of Pub. L. 108–203, set out as a note under section 405 of this title.