Navy Cash Standard Operating Procedures - Financial Management ...

Working DraftUnblocking Access to Home Accounts). Don’t unblock access until the Navy/Marine Cashaccount balance is zero or positive.(a) Deposit Cash or Check to Strip (Navy Cash) Account. The DisbursingOfficer can have the cardholder provide cash (or a personal check if the Disbursing Officer iswilling to accept it) at the disbursing office and transfer the value directly to the cardholder’sstrip account (see paragraph 8.4.13, Deposit Cash or Check to Strip).(b) Chip to Navy Cash Account Transfer. The Disbursing Officer can have thecardholder transfer any value on the chip on his or her Navy Cash card to the Navy Cash account(strip) by escorting the cardholder to the K80 Cashless ATM, and verifying that the funds aretransferred to the strip.(c) Change or Initiate Split Pay Option (SPO). The Disbursing Officer may,with the approval of the cardholder, change or initiate the cardholder’s split pay payroll amount,which is transferred directly to the cardholder’s Navy Cash account (strip) on payday, to coverthe amount of the negative balance.(d) Immediate Collection from Pay. The Disbursing Officer can initiate animmediate collection from pay to clear the amount of any negative Navy/Marine Cash balance.The Disbursing Officer may post an indebtedness to the cardholder’s military pay account usingthe “DS01” Format Identifier in the DJMS system in accordance with the DJMS ProceduralTraining Guide. The Company Code for Navy Cash is D411179. When DFAS-CL receives theinformation from the DJMS system, the debt will be reconciled with the TFA via a collectionfrom the cardholder’s military pay account. This option is also appropriate for cardholders whohave left the ship but are still in the service.(e) If a cardholder is within the final 30 days of being discharged from the Navyor Marine Corps and has a negative Navy Cash balance, the Disbursing Officer’s only option isto post a “DS01” indebtedness to the cardholder’s military pay account, and it must be postedprior to the cardholder’s separation date. (See paragraph 8.4.20 for procedures when a cardholderis leaving the service or transferring to an activity that does not have Navy Cash.)(f) Out-of-Service Debt. Even if a member leaves the service before settling anegative account balance, the Defense Finance and Accounting Service (DFAS), Directorate ofDebt and Claims Management, and the Department of the Treasury, Financial ManagementService, are responsible for collecting delinquent debts owed the government by former militarymembers. Debt collection procedures for the Government are detailed in Book 31 of the Code ofFederal Regulations, Chapter 9, Parts 900-904. A debt notice will be sent through the U.S. PostalService using the mailing address provided by the Master Military Pay Account. If the PostalService returns the debt notice as undeliverable, an attempt will be made to obtain a currentmailing address through the commercial credit bureau network and various other governmentdatabases. Whether or not a current mailing address is found, DFAS and Treasury are requiredby law to continue with the debt collection process. Thus, even if they cannot contact the formermember, the debt must be reported to commercial credit bureaus as a "collection account", andthe former member’s Federal income tax refund will be offset by the Department of the Treasuryfor payment towards the debt. They are also required by law to report the delinquent account toprivate collection agencies through the Department of the Treasury.NC SOP Ver 1.12 Chpt 8 Disbursing.doc 8-127 16-Aug-07