Bonn says no to the payment card: reasons for the rejection and follow!

Bonn says no to the payment card: reasons for the rejection and follow!

On February 26, 2025, the city administration Bonn made the decision to reject the introduction of a payment card for refugee persons who receive services under the Asylum Seekers Benefits Act (AsylbLG). This decision is in a context that is characterized by a new regulation on the payment card introduction in the state of North Rhine-Westphalia. Therefore, the situation is differentiated and significant for refugee people in Bonn.

The central rejection on the part of the Bonn city administration is based on several, important arguments. On the one hand, considerable personnel expenses are feared, the costs of which are not covered by the country. In addition, the possible uses for those affected would be significantly restricted by the payment card, since it only allows a limited amount of cash and excludes online purchases as well as purchases by bank transfer or invoice. There is also uncertainty about the costs that the city of Bonn could arise from the introduction of the payment card. The hope for possible cost savings through the loss of cash payments is assessed as unrealistic. reports that ...

legal background

The notification of the rejection comes into a total context that is characterized by the decision of the Bundestag on April 12, 2024 regarding the legal requirements for the payment card. The service authorities are entitled to decide whether they want to provide their benefits in money, benefits in kind, vouchers or payment cards. The new legal framework refers to the payment card regulation, which came into force on January 2, 2025 and regulates the national form of service provision. This regulation stipulates that adult beneficiaries receive their own payment card, while underage receivables receive benefits on the card of a legal guardian if they live with this together. NRW also reports that ...

However, the payment card is not introduced automatically. The respective communities have the option of choosing an alternative form of service provision instead of the payment card. This is done as part of an opt-out control that enables the municipalities to deviate from the use of the payment card. This flexibility is intended to take into account the various needs of refugee aids. For example, deviating services may be granted in certain hardship cases.

practical effects for refugees

Despite the legal basis and the possibility of extensive application, the current practice remains for all new refugees in Bonn: acute needs are covered by checks or vouchers, and further claims flow to the basic accounts of the refugees every month. This shows that the city administration has to evaluate the situation individually and in any case can decide whether the payment card is useful and appropriate. The decision is also influenced by social court decisions. A flat -rate limitation of cash could also be inadmissible, which also creates the entire introduction complex.

In this context, it remains to be seen which further steps the city of Bonn will take with regard to the payment card and how the legal requirements have an impact in practice. The challenges are characterized by the necessary balancing act between legal requirements and practical implementations, which could affect the quality of life of many refugees.