Germany to Introduce Payment Cards for Asylum Seekers Starting 2025
Germany to Introduce Payment Cards for Asylum Seekers by 2025
Germany is set to fully implement payment cards for asylum seekers in all federal states starting in 2025, replacing cash-based benefits. These cards, resembling debit or credit cards, are designed to streamline the disbursement of financial aid to refugees who cannot support themselves.
Amendments to the Asylum Seekers Benefits Act
Earlier this year, Germany’s Federal Cabinet approved amendments to the Asylum Seekers Benefits Act, enabling refugees to receive benefits through these payment cards. This marks a shift from cash payments to a more controlled and efficient system.
- Eligibility: Refugees seeking protection in Germany and unable to earn a living are eligible for benefits under the Asylum Seekers Benefits Act.
- Payment Method: The cards will allow for non-cash payments, with credits transferred directly to the card.
Key Features and Benefits of the Payment Cards
1. Restricted Use:
- Funds can only be spent within Germany.
- Prevents money from being transferred to refugees’ countries of origin.
2. Monthly Allowance:
- Asylum seekers receive between €400 and €500 per month, depending on individual needs and circumstances.
3. No Bank Accounts Needed:
- Since asylum seekers do not have residency status and cannot open bank accounts, the cards provide a practical solution.
4. Support for Non-Working Refugees:
- Refugees not entitled to work in Germany within the first three months of their stay can rely on this system for essential living expenses.
Implementation Variations Across States
While all German states have agreed to adopt the payment card system, **implementation rules differ** among regions, reflecting localized approaches to integrating the program.
This initiative underscores Germany’s commitment to improving support systems for asylum seekers while ensuring financial aid is utilized appropriately and efficiently.
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