§10315 Allotments

Summary

Seamen may have part of their pay sent to others or put into accounts by writing that into the required seaman agreement. The law lets a seaman allot pay to close family (grandparents, parents, spouse, sister, brother, or children); to a Treasury agency for buying U.S. savings bonds; or into a savings or investment account in the seaman’s name at a bank insured by the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation. All allotments must be written, signed, and approved by a shipping commissioner, who checks that they follow the rules. Amounts, payment times, and the payee must be stated. Only allotments that follow these rules are legal. Anyone who lies about qualifying as an allottee can be fined up to $500. A vessel cannot get clearance from a U.S. port unless the rule is followed, and the rule also applies to foreign vessels in U.S. waters with the same penalties. A seaman on a passenger ship that can carry more than 500 passengers may ask in writing to have wages deposited into a checking, savings, investment, retirement, or payroll/debit-card account if four conditions are met: the seaman picks the U.S. or international bank; the government where that bank is licensed fully guarantees the deposits under commonly accepted international standards; the seaman gets a written pay statement (including any direct deposit) at least monthly; and the seaman can arrange to withdraw all funds while on board.