California State Treasurer Fiona Ma announced that a new CalABLE Visa® Prepaid Card is available to people with disabilities who hold CalABLE accounts. Account holders can use the card everywhere Visa debit cards are accepted.
“This a great step forward that gives CalABLE account holders a convenient new way to help manage their personal finances and become more financially independent,” said Treasurer Ma.
Account holders and their authorized legal representatives can choose to receive a card, which can be requested at the time they open the account or any time afterwards. Account holders can load funds onto the card by logging into their CalABLE accounts, requesting an ACH withdrawal and selecting “CalABLE Card” as the target account.
The maximum balance cannot exceed $9,999 and purchases are limited to $2,500 a day. There is a $1.25 monthly fee for the card and additional fees may apply.
“One of the most important aspects of the ABLE Act is that it allows account holders to use the funds in their accounts for the everyday expenses of living a life with a disability,” said Dante Allen, executive director of CalABLE. “The new CalABLE Prepaid Card makes it easy and convenient for account holders to access their funds where they already live, work and shop.”
CalABLE, which stands for California Achieving a Better Life Experience, is housed in the State Treasurer’s office. It gives Californians and out-of-state residents the ability to save for disability-related expenses by putting money in a tax-advantaged savings or investment account, while protecting their eligibility for means-tested public benefits programs. After-tax contributions to a CalABLE account can grow tax-free when withdrawals are used for a broad range of Qualified Disability Expenses.
Until recently, individuals receiving federal benefits like SSI have been restricted to saving only $2,000, which prevented them from planning for the future and in many cases, kept them in poverty.
The CalABLE Visa Prepaid Card is issued by MetaBank®, Member FDIC, pursuant to a license from Visa U.S.A. Inc.
This article was released by the California State Treasurer’s Office.