Representative Payee Limits As with Social Security benefits, a representative payee is responsible for managing the money. Nevertheless, there are specific doings forbidden to the representative payee in order to secure that beneficiary interests. Three fundamental limitations are inherent.
Punishing Power — the ability to deny scholarship or research support by withholding funds, for example.
Representative payees cannot hold the funds over a beneficiary even as they think it could work in that capacity of discipline or correction. Payments must be directly available to the beneficiaries and cannot mean they are worse off overall for receiving social care support12.
Spend Your Money On Themselves 13.
The Beneficiarys resources are strictly reserved for their required needs, thus disallowing the payee from using it to handle any personal expenses. This requires that all expenses serve to the direct accommodation of said persons, guaranteeing their financial support was not implemented on profit ground345.
Ignoring Basic Needs
A various payee is required by law to use benefits for the current basic needs of an SSI recipient. It ensures basic needs such as housing, food and medical care. If these needs are not met, the payee can face some serious repercussions like being sued for misuse of funds 7.Representative Payee (ad)
In conclusion, there are restrictions when it comes to what a representative payee cannot do. If you suspect your payee is mishandling or misappropriating funds, an initial consultation with a disability attorney can offer advice and direction.