If you receive disability benefits, you've probably heard of Direct Express—the prepaid card option offered by the U.S. Treasury. But is it the best choice, or are there better alternatives? Here's how Purple compares to Direct Express so you can make an informed decision.
In this article, we'll cover:
- What Direct Express is and how it works
- How Purple differs as a full checking account
- Feature-by-feature comparison of both options
- Which option works best for different situations
- How to switch if you're ready for a change
What Is Direct Express?
Direct Express is a prepaid debit card program administered by the U.S. Treasury Department and operated by Comerica Bank. It was created to provide an electronic payment option for federal benefit recipients who don't have bank accounts.
When you enroll in Direct Express, your disability benefits are loaded onto a prepaid card each month. You can use the card for purchases, withdraw cash at ATMs, and access your funds without a traditional bank account.
Direct Express serves an important purpose—giving people without banking access a way to receive benefits electronically rather than waiting for paper checks. But as a basic prepaid card, it has significant limitations.
How Purple Is Different
Purple isn't a prepaid card—it's a full checking account designed specifically for disability benefit recipients. This distinction matters because checking accounts offer better consumer protections, more features, and greater flexibility than prepaid cards.
Purple was built from the ground up around the needs of SSI and SSDI recipients, with features like resource tracking tools, no hidden fees, and support from people who understand disability benefits.
Feature Comparison
Monthly fees: Direct Express has no monthly fee. Purple also has no monthly fee.
ATM access: Direct Express provides one free ATM withdrawal per month at qualifying ATMs; additional withdrawals cost $0.85. Purple offers broader ATM access with no fees at thousands of locations.
Customer service: Direct Express customer service is provided by a general banking contractor. Purple offers support specifically trained in disability benefit issues.
Mobile banking: Both offer mobile apps, though Purple's app includes features designed around benefit management and resource tracking.
Account type: Direct Express is a prepaid card with limited features. Purple is a full checking account with all associated benefits and protections.
Resource tracking: Direct Express offers no help with SSI compliance. Purple includes tools to help monitor resources relative to SSI limits.
Bill pay: Direct Express offers limited bill pay options. Purple offers full online bill pay capabilities.
Who Should Use Direct Express?
Direct Express makes sense if you have difficulty qualifying for a bank account due to past banking problems, you want the simplest possible option with no application process, or you're comfortable with basic prepaid card functionality.
For many people, Direct Express was the best available option when it launched. It solved a real problem for beneficiaries who couldn't access traditional banking.
Who Should Consider Purple?
Purple is a better fit if you want a full checking account with complete features, you're on SSI and need help tracking resources, you want support from people who understand disability benefits, you prefer robust mobile banking with modern features, or you're frustrated with Direct Express limitations.
If you've been using Direct Express because it was the only option you knew about, Purple offers an upgrade without the fees or complexity of traditional banks.
Switching Is Easy
If you're ready to move from Direct Express to Purple, the process is straightforward. Open your Purple account, update your direct deposit information with Social Security, and your next payment will arrive in your new account.
You can update direct deposit online through your my Social Security account, by phone, or at your local Social Security office. The change typically takes one to two payment cycles to take effect.
Ready for a bank account that's built for disability benefits? Purple offers everything Direct Express does and more, with features designed around your needs.