A representative payee is a third party who is authorized to receive and manage Social Security payments for a beneficiary who isn’t able to do so for themselves. Often, a creditor, such as a nursing facility or other residential facility can be appointed by the Social Security Administration (SSA) to act as a representative payee. When creditors perform this function, conflicts can arise and there must be adequate consumer protections in place to protect the best interests of the beneficiary and the Social Security system.
A new Justice in Aging issue brief, Skilled Nursing Facilities and Other Creditors Acting as Representative Payees, dives into some of the conflicts that can arise and proposes ways to strengthen the oversight and protections within the representative payee system.
