Source: https://rivet.global/blog/federal-payments-moving-off-paper-checks-us
Published: 2026-10-07 · Updated: 2026-10-07 · By Alexia M.

# The federal move away from paper checks: what businesses should do

The 2025 executive order moving federal payments off paper checks: what it covers and what businesses paid by, or paying, the government should change.

## Key takeaways

- Executive Order 14247, signed on 25 March 2025, directed the Treasury to stop issuing paper checks for federal disbursements from 30 September 2025, with limited exceptions.
- It also directs agencies to move payments to the government to electronic methods where possible.
- Businesses that receive federal payments, refunds or contract payments need bank details on file with the paying agency.
- Check fraud is a major reason; businesses that still pay by check face the same risks.

The federal government is one of the largest issuers of paper checks. A March 2025 executive order set a date to stop.

## What the order says

| Item | Detail |
|---|---|
| Order | Executive Order 14247, 25 March 2025 |
| Payments out | Treasury to stop issuing paper checks from 30 September 2025, with exceptions |
| Payments in | Agencies to move collections to electronic methods where possible |
| Reasons | Cost, fraud, delays |

## What businesses should do

1. Make sure bank details are current with every agency that pays you, including the IRS.
2. Register for electronic payment with agencies you pay, such as EFTPS for federal tax.
3. If you are a federal contractor, check your SAM.gov payment details.

## Your own checks

FinCEN has warned about rising check fraud. Businesses that still pay suppliers by check face theft, washing and forgery. ACH costs less and is harder to alter. See [positive pay and check fraud](/blog/positive-pay-check-fraud).

## Paying into the United States: the local rail

| What | Detail |
|---|---|
| Local rail | ACH for batch payments; RTP and FedNow for instant transfers |
| Run by | Nacha for ACH; The Clearing House for RTP; the Federal Reserve for FedNow |
| Settlement | Same-day ACH within the business day, standard ACH the next; RTP and FedNow in seconds, 24/7, where both banks take part |

Source: [Nacha: Same Day ACH](https://www.nacha.org/rules/same-day-ach-moving-payments-faster). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet gives registered companies USD details for receiving ACH and wires on the free Starter plan and sends payouts by ACH and on local rails abroad, with no paper. Rivet is not a bank; regulated partner institutions hold the funds. See [ACH vs wire transfer](/blog/ach-vs-wire-transfer).

## Questions

### Is the government stopping paper checks?

For most federal disbursements, yes, from 30 September 2025 under Executive Order 14247, with exceptions for people without access to banking and some other cases.

### How will businesses get IRS refunds?

By direct deposit, where bank details are on the return or on file. Make sure they are current.

### Does this affect payments to the government?

The order directs agencies to move collections to electronic methods where possible, such as ACH, cards and digital wallets.

### Should my business stop using checks?

Most businesses can. ACH is cheaper and safer, and check fraud remains common.