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Germany’s Bezahlkarte Faces Criticism Over Rollout and SEPA Loophole

Over 70 municipalities in North Rhine-Westphalia have opted out of the prepaid card for asylum seekers, citing technical flaws and implementation challenges.

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Overview

  • North Rhine-Westphalia launched a digital survey for municipalities to decide by May 31 whether to adopt the Bezahlkarte, with implementation expected to begin in July or August.
  • More than 70 municipalities, including Cologne, Düsseldorf, and Dortmund, have opted out, citing concerns over costs and operational challenges.
  • Critics, including Langenfeld Mayor Frank Schneider, argue the SEPA function undermines withdrawal limits, allowing unauthorized transfers and cash withdrawals.
  • Integrationsministerin Josefine Paul defends the SEPA feature, stating it is essential for accessing services like public transportation and school meals.
  • A federal coalition plan aims to standardize the Bezahlkarte nationwide and address loopholes, with 14 states working on blacklist measures to restrict unauthorized transactions.