The USDA Food and Nutrition Service is working with five states to test mobile payment technology in the Supplemental Nutrition Assistance Program.
In the next few years, SNAP participants in Illinois, Louisiana, Massachusetts, Missouri and Oklahoma will have the option to use mobile payment methods — like tapping or scanning their personal mobile device — as an alternative to their physical SNAP card, according to a news release.
The mobile payment method is one way to make it easier for families to put healthy food on the table, the USDA said in the release. The technology also has the potential to help protect families from having their SNAP benefits stolen because of card skimming and other fraud.
“Today’s announcement represents another step forward for the future of SNAP and the many ways our programs are embracing modern and innovative ideas to improve nutrition security,” Stacy Dean, USDA deputy undersecretary for food, nutrition and consumer services, said in the release. “Digital wallets are changing the way we pay for everything, including groceries. We want to ensure SNAP leverages the latest technology to improve access to benefits, reduce fraud, and provide a better overall experience for the families we serve.”
The USDA will work with state agencies as well as EBT processors, mobile wallet providers, retailers and more to support a successful rollout in the pilot states, the release said.
Neither retailers nor SNAP households are required to participate in the pilots; stores can decide whether to adopt the new technology and make contactless payments available to their SNAP customers, and shoppers can continue to use their EBT card if that’s how they prefer to pay, the release said.
Other SNAP modernization efforts, the release said, include expanding SNAP online shopping, partnering with the National Grocers Association Foundation to help small and/or rural retailers get started with SNAP online shopping, and exploring EBT card technology and safeguards.
