2020 US Code
Title 10 - Armed Forces
Subtitle A - General Military Law
Part II - Personnel
Chapter 53 - Miscellaneous Rights and Benefits
Sec. 1053 - Financial institution charges incurred because of Government error in direct deposit of pay: reimbursement

Download PDF
Citation 10 U.S.C. § 1053 (2020)
Section Name §1053. Financial institution charges incurred because of Government error in direct deposit of pay: reimbursement
Section Text

(a)(1) A member of the armed forces (or a former member of the armed forces entitled to retired pay under chapter 1223 of this title) who, in accordance with law or regulation, participates in a program for the automatic deposit of pay to a financial institution may be reimbursed by the Secretary concerned 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 or average 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 person 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 and allowances of members of the armed force 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 (A) retired pay, and (B) allowances.

Source Credit

(Added Pub. L. 99–661, div. A, title VI, §662(a)(1), Nov. 14, 1986, 100 Stat. 3893; amended Pub. L. 101–189, div. A, title VI, §664(a)(1)–(3)(A), Nov. 29, 1989, 103 Stat. 1466; Pub. L. 102–25, title VII, §701(e)(8)(A), Apr. 6, 1991, 105 Stat. 115; Pub. L. 104–106, div. A, title XV, §1501(c)(8), Feb. 10, 1996, 110 Stat. 499; Pub. L. 105–261, div. A, title V, §564(a), Oct. 17, 1998, 112 Stat. 2029; Pub. L. 106–398, §1 [[div. A], title V, §579(c)(2)], Oct. 30, 2000, 114 Stat. 1654, 1654A–141.)

Editorial Notes AMENDMENTS

2000—Pub. L. 106–398 substituted "Financial institution charges incurred because of Government error in direct deposit of pay: reimbursement" for "Reimbursement for financial institution charges incurred because of Government error in direct deposit of pay" in section catchline.

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."

1996—Subsec. (a)(1). Pub. L. 104–106 substituted "chapter 1223" for "chapter 67".

1991—Pub. L. 102–25 struck out "mandatory" after "error in" in section catchline.

1989—Pub. L. 101–189, §664(a)(3)(A), amended section catchline generally, substituting "Reimbursement for financial institution charges incurred because of Government" for "Relief for expenses because of".

Subsec. (a). Pub. L. 101–189, §664(a)(1), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: "A member of the armed forces who, by law or regulation, is required to participate in a program for the automatic deposit of pay to a financial institution may be reimbursed for overdraft charges levied by the financial institution when such charges result from an administrative or mechanical error on the part of the Government that causes such member's pay to be deposited late or in an incorrect amount or manner."

Subsec. (d). Pub. L. 101–189, §664(a)(2), amended subsec. (d) generally. Prior to amendment, subsec. (d) read as follows: "In this section, the term 'financial institution' has the meaning given that term in section 3332 of title 31."

EFFECTIVE DATE OF 1996 AMENDMENT

Pub. L. 104–106, div. A, title XV, §1501(c), Feb. 10, 1996, 110 Stat. 498, provided that the amendment made by that section is effective as of Dec. 1, 1994, and as if included as an amendment made by the Reserve Officer Personnel Management Act, title XVI of Pub. L. 103–337, as originally enacted.

EFFECTIVE DATE OF 1989 AMENDMENT

Pub. L. 101–189, div. A, title VI, §664(c), Nov. 29, 1989, 103 Stat. 1467, provided that: "The amendments made by subsection (a) [amending this section], and section 1594 of title 10, United States Code, as added by subsection (b), shall apply with respect to pay and allowances deposited (or scheduled to be deposited) on or after the first day of the first month beginning after the date of the enactment of this Act [Nov. 29, 1989]."

EFFECTIVE DATE

Pub. L. 99–661, div. A, title VI, §662(c), Nov. 14, 1986, 100 Stat. 3894, provided that: "Section 1053 of title 10, United States Code, as added by subsection (a), shall apply only with respect to charges levied as a result of errors occurring on or after the date of the enactment of this Act [Nov. 14, 1986]."

Publication Title United States Code, 2018 Edition, Supplement 2, Title 10 - ARMED FORCES
Category Bills and Statutes
Collection United States Code
SuDoc Class Number Y 1.2/5:
Contained Within Title 10 - ARMED FORCES
Subtitle A - General Military Law
PART II - PERSONNEL
CHAPTER 53 - MISCELLANEOUS RIGHTS AND BENEFITS
Sec. 1053 - Financial institution charges incurred because of Government error in direct deposit of pay: reimbursement
Contains section 1053
Date 2020
Laws In Effect As Of Date January 13, 2021
Positive Law Yes
Disposition standard
Statutes at Large References 100 Stat. 3893, 3894
103 Stat. 1466, 1467
105 Stat. 115
110 Stat. 499, 498
112 Stat. 2029
114 Stat. 1654
Public Law References Public Law 99-661, Public Law 101-189, Public Law 102-25, Public Law 103-337, Public Law 104-106, Public Law 105-261, Public Law 106-398
Disclaimer: These codes may not be the most recent version. United States may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.