§1594 — Title 10 Armed Forces | U.S. Code

Summary

DoD civilian employees who use automatic direct deposit must be repaid for bank fees that happen because the Government made an administrative or mechanical mistake. Repayable fees include overdraft or minimum-balance charges when a paycheck is deposited late or in the wrong amount. The refunds come from the funds used to pay the employee. The Secretaries in charge must make rules about how refunds are handled. Financial institution means a bank, savings and loan, similar place, or a U.S.- or State-chartered credit union. Pay includes allowances.

Title 10, §1594

Armed Forces — Source: USLM XML via OLRC

(a)(1)A civilian officer or employee of the Department of Defense who, in accordance with law or regulation, participates in a program for the automatic deposit of pay to a financial institution may be reimbursed for a covered late-deposit charge.

(2)A covered late-deposit charge for purposes of paragraph (1) is a charge (including an overdraft charge or a minimum balance charge) that is levied by a financial institution and that results from an administrative or mechanical error on the part of the Government that causes the pay of the officer or employee concerned to be deposited late or in an incorrect manner or amount.

(b)Reimbursements under this section shall be made from appropriations available for the pay of the officer or employee concerned.

(c)The Secretaries concerned shall prescribe regulations to carry out this section, including regulations for the manner in which reimbursement under this section is to be made.

(d)In this section:

(1)The term “financial institution” means a bank, savings and loan association, or similar institution or a credit union chartered by the United States or a State.

(2)The term “pay” includes allowances.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1998—Subsec. (d)(1). Pub. L. 105–261 amended par. (1) generally. Prior to amendment, par. (1) read as follows: “The term ‘financial institution’ has the meaning given the term ‘financial organization’ in section 3332(a) of title 31.” 1991—Pub. L. 102–25 struck out “mandatory” after “error in” in section catchline. 1990—Subsec. (d). Pub. L. 101–510 substituted “In this section” for “in this section”.

Statutory Notes and Related Subsidiaries

Effective Date

Section applicable with respect to pay and allowances deposited (or scheduled to be deposited) on or after first day of first month beginning after Nov. 29, 1989, see section 664(c) of Pub. L. 101–189, set out as an

Effective Date

of 1989 Amendment note under section 1053 of this title.

§1594 Reimbursement for financial institution charges incurred because of Government error in direct deposit of pay

Summary

Title 10, §1594

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Effective Date

Effective Date

Citations & Metadata