Monday, October 6, 2014

Issue 433 No cash back for EBT cards October 6, 2014

I have noticed a unique problem with the food stamp system used for the poor in America.  Actually, many people have noticed it too, but are powerless to sound off against it or else they look like they are bashing poor people.  This issue is on being able to take out actual cash at ATMs, and from cash back offers from stores when people pay with food stamps (EBT cards).  Let's discuss.


What is this feature:  This is for my foreign readers, so if you already know the term you can skip to the next section.  The term "cash back" is when you are given the opportunity to withdraw money from your bank account when you purchase an item(s) at a store using your checking account. The cards used for welfare known as EBT cards (better known as food stamps) also have this feature.

Why this is a problem:  The main issue is because the money being given to these individuals for food stamps is not their money, it is the taxpayers giving it to them so they can buy food for themselves and their families.  As such, why are they allowed to take this money out which allows it to be used for other purposes?  This is where issue number two comes in.  Food stamps only allows for certain items to be purchased which are deemed healthy.  But when these individuals take the money out, they can use it to buy prohibited items like beer, or cigarettes.  To make matters worse, there have been incidents where these food stamp cards have had money withdrawn at strip clubs, gambling establishments and have also been used to purchase drugs.  So this hard earned money that we give to our government in taxes is being abused.  As such, food stamps in my opinion should not be treated like a debit card with restrictions.  Instead it should act like a credit card with restrictions that disallow money from being withdrawn in any way shape or form.


Conclusion:  These abuses to the system are becoming more and more prevalent.  I have personally witnessed, when I worked in a supermarket, a women on food stamps take out $20 just to pay for the beer after she purchased her other items eligible for purchase with the card.  This is my taxpayer dollars and yours being used in an illegal way.  The simplest way to stop it is removing the withdrawal function because the federal government which runs this system cannot keep up with the sheer number of abuses.  Of the 5,000 cases of abuse investigated each year there are apparently 15,000 more on estimation that continue on with illegally abused food stamps according to the federal government.  So one simple solution fixes a large portion of the problem.  Remember, this is not their money they are spending, it is your tax payer dollars that are being abused.

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