This time of year, a specific type of envelope appears in Texas mailboxes. It’s all white, with a small window carved into the front, and it doesn’t say “money inside.” That unremarkable envelope is the Texas Workforce ReliaCard for thousands of people who have recently lost their jobs and filed for unemployment benefits, and it is more important than it looks.
The Texas Workforce Commission determines who receives the card, but U.S. Bank, not the state, issues the card itself. It doesn’t appear until TWC has authorized a claim and transferred the initial payment to the bank. That order is important. Sometimes customers call customer service believing their card is “lost” when, in reality, the card hasn’t been activated and their claim hasn’t cleared yet.
The ReliaCard’s lack of requirements is what makes it attractive, at least in theory. not having a bank account. No credit investigation. U.S. Bank promotes zero fees for domestic purchases, in-network ATM withdrawals, and customer service calls, and it operates anywhere Visa debit is accepted. That’s a huge benefit for someone who doesn’t have a bank account or simply doesn’t want to pay check-cashing fees. However, it’s important to note that “no fees” on the marketing flyer and “no fees” on the actual fee schedule sent with the card aren’t always the same thing; certain transactions, such as out-of-network ATMs or excessive balance inquiries, may still incur costs.
The majority of the frustration seems to reside in timing. U.S. Bank claims to mail the card within two business days after TWC sends the payment file, but it requests an additional seven to ten days for postal delivery. Before someone without a job and waiting on rent money even has plastic in their possession, that could be up to two full weeks. Additionally, funding doesn’t always coincide with the card’s arrival; in certain instances, the card appears before the money does, arriving in the account two to three business days later. More nervous phone calls to Tele-Serv are likely to result from this gap than from nearly anything else in the system.
Additionally, there is a fraud issue that needs to be taken seriously. It’s usually an indication that someone filed a claim using their stolen identity if a ReliaCard shows up at their address even though they never applied for unemployment. For this purpose, TWC has a fraud portal, and U.S. Bank has its own procedure for canceling the card. It seems riskier to skip either step or to assume it will work itself out.
Activation is fairly simple: use the app or scan a QR code, create a password, and select a four-digit PIN. Until they find themselves at an ATM that has locked them out due to too many incorrect guesses, people tend to undervalue the significance of the PIN. Paying inside at gas stations rather than at the pump, for example, prevents a larger-than-necessary hold on a balance that may already be low. This is a small but important skill to have when using the card.
The ReliaCard system is not flawed because of any of this. When compared to the majority of prepaid cards available on the market, the absence of monthly fees is truly unique, and it addresses a significant issue for individuals without bank accounts. But it’s a system built around bureaucratic timing, not personal urgency, and anyone counting on it during a financial squeeze should probably plan for the slower version of events, not the optimistic one.
