The U.S. Treasury Department has intercepted roughly $99 million improper federal payments intended for deceased individuals and blocked approximately 4,900 payments before they were distributed.
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Just the News reports that the action followed a review of 885 million payments worth nearly $2.7 trillion, the department’s Bureau of the Fiscal Service discovered the money was sent to dead people.
Treasury Secretary Scott Bessent told Fox Business that the Treasury’s new payment verification process could prevent up to $350 million in improper payments by the end of the year.
NEW: Treasury blocks nearly $100M in payments to deceased individuals with new safeguard@SecScottBessent: “Trump issued an executive order for us to be able to go to the Do Not Pay to have it interact with the Treasury payment systems.”pic.twitter.com/coJXmXSVVQ
— Florida’s Voice (@FLVoiceNews) July 21, 2026
The new verification process was established under a Trump administration executive order and the Ending Improper Payments to Deceased People Act, which granted the Treasury permanent access to the Social Security Administration’s Full Death Master File.
In February, President Trump signed the Ending Improper Payments to Deceased People Act into law, allowing the Treasury permanent access to the death file.
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Once ineligible payments were identified, which often result from fraudulent activities, the funds were returned to the originating federal agencies for review before any funds were disbursed.
The $99 million figure is a tiny fraction (0.0036%) of the $2.7 trillion the department reviewed as part of the Trump administration’s crackdown on waste, fraud and abuse — but more than triple what Treasury discovered going to the deceased prior to President Trump taking office last year.
Treasury Secretary Scott Bessent said in a statement:
Treasury has delivered on a key promise of President Trump’s mandate to stop improper payments and fraud before money leaves the Treasury, and strengthen the integrity of the federal payment system. Together with Vice President Vance’s Task Force to Eliminate Fraud, this new safeguard addresses a longstanding vulnerability and helps ensure every dollar the federal government spends reaches its intended recipient.
The Treasury used the federal Do Not Pay program — which confirms a recipient’s identity, eligibility, and bank account information before issuing federal payments or awards — as well as other new verification tools to flag the $99 million that was going to the graveyard.
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