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Can I collect bank account information from participants in Hawaii? What are the requirements?

Collecting Bank Account Information in Hawaii

In Hawaii, collecting bank account information from participants may be necessary for various purposes such as tax refunds, unemployment benefits, and direct deposit of cash assistance. However, there are specific requirements that must be followed to ensure the protection of personal information.

According to the Department of Taxation, taxpayers who need to make Electronic Funds Transfer (EFT) payments are sent a letter notification from DOTAX that they are required to participate in the mandatory EFT Program [1]. To set up EFT payments, taxpayers can use Hawaii Tax Online or pay by Automated Clearing House (ACH) credit by following the instructions to work with their bank [1].

For unemployment benefits, claimants can create a new account or access their existing account by going to uiclaims.hawaii.gov and completing the online application. It is recommended to utilize the bank routing number and account information on personal checks to ensure the account number and financial institution’s routing number are correct [2].

For Act 115 refunds, the refund will be deposited into the bank account specified in taxpayers’ 2021 individual income tax return [3].

For cash assistance, recipients may choose to have their cash benefits directly deposited into their personal bank accounts. However, they must provide proof of their statements about household circumstances and meet specific eligibility requirements [4].

It is important to note that collecting bank account information must comply with Hawaii’s privacy laws, such as the Hawaii Information Privacy Act (HIPA) and the Gramm-Leach-Bliley Act (GLBA) [1]. These laws require entities to implement reasonable safeguards to protect personal information and to obtain consent from individuals before collecting, using, or disclosing their personal information.

In summary, collecting bank account information from participants in Hawaii is possible for various purposes, but it must comply with Hawaii’s privacy laws and specific requirements for each program.

[1]: Mandatory Electronic Payment (EFT) | Department of Taxation [2]: Unemployment Insurance | FAQs – Frequently Asked Questions [3]: Act 115 Refund | Department of Taxation [4]: Benefit, Employment & Support Services | SUPPLEMENTAL …

Source(s):
Jurisdiction

Hawaii