Applying to become a representative payee usually requires a face-to-face interview at your local Social Security office, which you can schedule by calling 800-772-1213. If you share an account with someone who has trouble sticking to a budget, you could see more money being taken out of the fund than youre comfortable with. At Bankrate we strive to help you make smarter financial decisions. You can also create a my Social Security account and start or change Direct Deposit online. A request to close a joint account can also be faxed, emailed or mailed, depending on the bank or credit union. Ravi Kumar, head of CIT Bank, says that each co-owner of a joint account is insured up to $250,000 for the combined amount of his or her interests in all joint accounts at the same insured depository institution. Founded in 1976, Bankrate has a long track record of helping people make smart financial choices. Sometimes nursing homes or other organizations place funds for several beneficiaries in a single checking or savings account. When the claims that he or she can no longer withdraw funds from the account. Annotate the evidence screen with all the evidence the claimant, recipient or deemor If the SSI recipient is named on a joint bank account along with another person who does not receive SSI, SSA will presume that all of the funds in the account belong to the Bankrate follows a strict editorial policy, Inform the claimant, recipient, or deemor that he or she must submit the following The Social Security Administration does not recognize power of attorney as conferring authority to manage another persons benefits. You cant be an owner of the account or bonds, and you cant mingle these funds with your own money. THIS INFORMATION IS GENERAL.FOR MORE INFORMATION, CALL 18007721213 (TTY 18003250778),VISIT OUR WEBSITE In that case, you may have to return the money the beneficiary was not due and the payments may stop. Receive Federal law mandates that all Federal benefit payments including Social Security and Supplemental Security Income benefits must be made electronically. In determining a childs resources, money in the childs dedicated savings account does not count toward the resource limit. claimant, recipient, or deemor can no longer withdraw from the account, then the funds However, you may preauthorize your financial institution to transfer funds into your other bank accounts. this post may contain references to products from our partners. They opened the When a supplemental security income (SSI) eligible individual alleges co-ownership of an account and the co All answers provided relate only to Michigan law and are made for general information purposes ONLY. the total in the account in the ALLEGED/VERIFIED AMOUNT field until the month following This is a read only version of the page. We follow strict guidelines to ensure that our editorial content is not influenced by advertisers. East Lansing, MI Give us Feedback. Joint checking accounts work like checking accounts, letting you write checks and use a debit card. The basic question is, should you start your benefit earlier, at a reduced amount, or start later at a higher level? There are two ways you can receive your benefits: Direct Deposit is the best electronic payment option for you because it is: If you are applying for Social Security or Supplemental Security Income benefits, you must elect to receive your benefit payment electronically when you enroll. If you will no longer be the payee, you must notify Social Security immediately. exclude the appropriate portion that belongs to the co-owner(s) using the excluded Here is a list of our banking partners. WebAny Social Security payments deposited into a joint account after the death of a beneficiary must be returned to Social Security. It is a good idea to ask the Social Security Administration to directly deposit monthly benefits into a bank account. The check has been returned unpaid and If you file separately or arent married, things get more complex, depending on which state you live in. Grantor deposits funds into a savings account and indicates, either by the account titling for example, the account may have the phrase in trust for in the title We also need to approve any decision to pool the personal funds of several beneficiaries for an item such as a television that will benefit the group. ", Meeting the needs and unleashing the potential of older Americans through media, (Beneficiarys name) by (your name),representative payee., (Your name), representative payee for (beneficiarys name).. WebCAN I HAVE A JOINT ACCOUNT AND RECEIVE SSI? again. Do Not Sell or Share My Personal Information. receives SSI, we assume that you both own the money in equal shares unless you can show us otherwise. When a supplemental security income (SSI) eligible individual alleges co-ownership A joint bank account can be helpful if you and someone else share responsibilities, such as running a household or business, since it allows you to both contribute to and withdraw from the account, says Lauren Anastasio, a certified financial planner and director of financial advice at Stash, a financial services company. A joint account has more than one person's name on the title, for example, John Jones or Mary Jones, and all persons named can withdraw money from the account. You should keep a record of medical services and medical expenses not covered by Medicare and Medicaid. WebFederal law mandates that all Federal benefit payments including Social Security and Supplemental Security Income benefits must be made electronically. section for the relevant Financial Institution Account (RFIA) page. Can the bank place a hold on a payroll check? Create and manage your account. After you provide the initial deposit, the bank will send the account materials, like debit cards and checks, to both account holders. The check has been deposited into an account that has been repeatedly overdrawn during the past six months. She uses her finance writing background to help readers learn more about savings and checking accounts, CDs, and other financial matters. following the month that the claimant, recipient or deemor removes the funds. obtain his or her statement on a form containing the penalty clause regarding: who made deposits to and withdrawals from the account; and. If a blind or disabled child receives a lump SSI back-payment equaling more than six months of benefits, the SSA requires his representative payee to deposit the lump sum in a dedicated account that is separate from the account into which the SSA deposits the beneficiarys monthly benefits. They are NOT intended to be legal advice and are NOT intended to create an attorney-client relationship between Ms. Nichol and any readers or subscribers to avvo.com. funds and the co-owner removes his or her funds from the account, continue to show recipient, deemor or co-owner's funds or name from the account. She also receives Temporary Assistance for Needy Families (TANF) for her As a representative payee, you are responsible for keeping records and reporting on how you spend the benefits by completing a Representative Payee Report. An SSI recipient co-owns a Savings account with her roommate who does not receive What happens if I wait past age 70 to file for Social Security benefits? This entire payment must be used for the beneficiarys personal needs or saved on his or her behalf if personal needs have been met. Another thing to consider if you have a joint bank account with someone who isnt your spouse is gift taxes. Record a zero balance on the deemors Financial Institution Account page if the co-owner Some examples of times when a joint bank account makes sense are: Its best to only open a joint account when youre actually sharing funds with another person, Michael Foguth, a financial planner at Foguth Financial Group in Brighton, Michigan. If the beneficiary has both Medicaid with prescription drug coverage and Medicare, Medicare and Supplemental Security Income, or if the state pays for his or her Medicare premiums, they automatically will get this extra help and dont have to apply. The beneficiary is committed to an institution by court order for a crime committed because of a mental impairment. Were transparent about how we are able to bring quality content, competitive rates, and useful tools to you by explaining how we make money. the funds in the account belong to the SSI eligible(s) in equal shares. (517) 583-0520 Nor is it sufficient to have your name on your mothers bank account or be her authorized representative. If the claimant, recipient, or deemor successfully rebuts ownership of some of the The SSA allows a payee to use funds in a dedicated account for specific purposes including paying for the beneficiarys medical treatment, education and training as well as personal assistance the beneficiary needs because of his blindness or disability. When you need to fill out the Representative Payee Report, you can add the amounts in each column of your worksheet and put the totals on the accounting form. Consult with a tax advisor for advice, should you have questions. removes the funds, exclude retroactively the co-owners share and change the CO-OWNED The account paperwork must evidence both the beneficiarys sole ownership of the account and the payees responsibility for it. Monday - Friday, No. The account and supporting records must be made available to us when we ask for them. In the future all social security payments should be placed in a separate account and no other funds should be deposited in that account. To process the rebuttal, take the following steps: Record the total $2,200 balance in the verified value field on the Financial Institution screen, account successfully rebutted; funds do not belong to claimant, recipient, Social security is protected when no other money gets deposited into the account, but in some states, if even one dollar of unexplained money goes into the account, it can be considered to be comingled and thus vulnerable. However, if you can prove that the funds that were in the account were traceable to social security, you could have the garnishment released. Use Other as the exclusion reason, and add these remarks: co-owners share successfully Can my Social Security benefits be garnished or levied? Please enable Javascript in your browser and try share of that account is $2,200. You are now leaving AARP.org and going to a website that is not operated by AARP. Joint savings accounts work like savings accounts, keeping your money safe and paying interest. We continually strive to provide consumers with the expert advice and tools needed to succeed throughout lifes financial journey. A bank may require that a special deposit slip be used for state or local government checks and for certified, cashier's, or teller checks to qualify for next-day availability. To manage a parents Social Security, you have to be appointed a representative payee by Social Security. Because joint accounts mean joint ownership, you should only fund a joint account if you completely trust the joint owner, as they will have access to funds that you deposit into the account, she says. money does not belong to you. You cant enroll earlier, except under very narrow circumstances, and you may incur hefty fees for signing up later. The IRS reminds taxpayers they should only deposit refunds directly into U.S. affiliated accounts that are in their name, their spouse's name or both if it's a joint account. A Special Note About Beneficiaries Receiving SSI. Real questions about bankruptcy and debt from people like you. She also mentions that the account balance In addition to writing for Bankrate and CreditCards.com, Johnson does ongoing work for clients that include CNN, Forbes Advisor, LendingTree, Time Magazine and more. These income and resource limits change each year. Social Security Online; A Guide for Representative Payees; January 2009, Social Security Online; FAQs for Representative Payees; February 2011, Social Security Online; Benefits for Children; June 2011, Social Security Online; Training Organizational Representative Payees; February 2011. You will also need to withdraw or transfer all funds from the account before closing it. Select Co-ownership as the exclusion reason. individual account. Javascript must be enabled to use this site. Free online workshop! Someone can receive Supplemental Security Income payments through either direct deposit or on a specialized debit card called a Direct Express Debit Mastercard. Corbin Blackwell, a financial planner at Betterment, says its also one that should lead you to think long and hard before opening a joint account with just anyone. Use Other as the exclusion reason, and add these remarks: co-owners share successfully Currently our system allows direct deposit only to a single account, at a financial institution (e.g. 1. For example, if you owned your own account with a balance of $500,000, youd only be insured by the FDIC up to the $250,000 limit. But a joint bank account should only be opened with someone whom you trust, since that person has equal control over the accounts funds. We value your trust. However, if you can prove that the funds that were in the account were traceable to social security, you could have the garnishment released. Can I use direct deposit if I live outside the United States? Your benefit will go automatically into your account every month. The beneficiary moves to or from a hospital, nursing home, correctional facility or other institution. Who can get benefits and how to apply. account belong to the claimant(s) or recipient(s), in equal shares. All of our content is authored by Your Social Security office can tell you how you should title the account. The bank and/or the court should be able to provide you with the forms to claim an exemption on the money in the account, but you need to act immediately. A different privacy policy and terms of service will apply. WebA free and secure my Social Security account provides personalized tools for everyone, whether you receive benefits or not. Also, do not mix the beneficiarys money with your own or other money. The check has been returned unpaid and has then been redeposited. each of the recipients records; Post the total in the alleged or verified value field for each of the recipients; She indicates that only $800 of If a balance remains after a representative payee pays a beneficiarys expenses, the SSA further requires the payee to deposit the remaining funds in an interest-bearing account insured by either state or federal law or U.S. savings bonds. A Michigan based law firm garnished another of my savings accounts for a debt - judgement filed Feb 2008. The accounts design must prevent the Our experts have been helping you master your money for over four decades. Until the claimant, recipient, or deemor provides the necessary rebuttal statements The Social Security Administration does not recognize power of attorney as conferring authority to manage another persons benefits. The SSA usually allows an organization appointed as a representative payee for multiple SSA beneficiaries to establish a single, collective account to receive each of the beneficiaries benefit payments. Income Claims System (MSSICS) Financial Institution Account (RFIA) page, and then. If the claimant, recipient, or deemor owns only a portion of the funds, evidence showing Our editorial team does not receive direct compensation from our advertisers. A person may qualify even if his or her income or resources are too high for SSI. Information provided on HelpWithMyBank.gov should not be construed as legal advice or a legal opinion of the OCC. claimants new account balance, when you receive proof that the claimant removed her Account page. What should I do if I have an Administrative Wage Garnishment (AWG) order? Investment accounts established through a registered securities broker or dealer. WebYou can ask IRS to direct deposit a refund on a joint return into your account, your spouses account, or a joint account. The beneficiary also may be able to get extra help paying for the annual deductibles, monthly premiums and prescription co-payments related to the Medicare prescription drug program (Part D). If you receive benefits for someone else, for example, as a representative payee, or you are holding money for someone else in your account, for example, as a trustee, it is important that your account be titled to show this. Bankrate follows a strict editorial policy, so you can trust that were putting your interests first. process, described in SI 01140.205D. The preferred ways of saving are U.S. Savings Bonds or an interest-paying bank account that is insured under either federal or state law. If you have any questions, call Social Security at 1-800-772-1213 (TTY 1-800-325-0778). and. If you delay, your eventual Social Security payment will keep rising, until you hit 70. While social security benefits cannot be garnished, if the money is commingled with other funds then you do not have the same protection. Are benefits paid retroactively? An individual, parent or organization may serve as the representative payee of a beneficiary who receives Supplemental Security Income (SSI) payments, Social Security benefits, or both. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within the listing categories, except where prohibited by law for our mortgage, home equity and other home lending products. If you and your partner split up, they could try to stake claim to half of the account balance, even if you feel some of the funds belong solely to you such as money from an inheritance or work bonus. While we strive to provide a wide range offers, Bankrate does not include information about every financial or credit product or service. In extremely rare circumstances, Treasury may grant exceptions to the electronic payment mandate. It depends on what a judge says. a minor, have the claimant, recipient, or deemor submit a corroborating statement Accessed Aug. 10, 2020. That is, rebuttal Some examples of collective account titles are: Sunnydale Nursing Home, representative payee for Social Security beneficiaries. Sunnydale patients fund for Social Security beneficiaries.. With experience in earning securities and insurance licenses and having owned a successful business, her articles have focused predominantly on finance and entrepreneurship. Yes they can be. Special rules apply if you are in a country where we cannot send payments. Account records showing deposits, withdrawals, and interest in the months for which Youll need to bring proof of your identity. You can often open a joint account online, and the process is similar to opening an individual account. List the new account on a new Financial Institution Account page and document the again. Enter the full account balances under the alleged or verified columns of the Financial We explore the intersection of aging and disability through engaging conversations. You can sign up online at Go Direct, by calling 1-800-333-1795, in person at your bank, savings and loan or credit union, or calling Social Security. Get instant access to members-only products and hundreds of discounts, a free second membership, and a subscription toAARP The Magazine. To document this case: Indicate the bank account is co-owned in the Financial Institution Account page for Under these circumstances, the SSA requires the beneficiaries to maintain ownership of the account without having access to the funds in the account. But many otherfactors come into play in determining the best age for you to claim benefits, including your physical well-being, marital status, financial needs and job satisfaction. An SSI claimant co-owns a bank account with her ineligible daughter. Here's an explanation for how we make money Social Security. is an ineligible deemor. the claimant wishes to rebut ownership assumption. If Medicaid is paying more than half the cost of an SSI beneficiarys care, or private health insurance is paying for the care, the SSI payment is usually limited to $30 per month, plus any additional money paid by the state. Javascript must be enabled to use this site. To receive benefits electronically, you must live in a country where we can send benefits. Since 2011, all Social Security payments have been made electronicallyso you must sign up for direct deposit. Enter the corroborating signed rebuttal statement of the co-owner on the DPST screen. That account balance is $2,200.For SSI purposes, Mary's The account must be separate from the organizations operating account. If your joint bank account is with an online bank that doesnt have any branches, each account holder may need to enter their sign-in credentials and approve the closure. In 01/09, the account balance was $2,200. They must be given to the legal representative of the estate or otherwise handled according to state law. A joint bank account is an account shared with another individual for things such as paying the bills, depositing paychecks or saving for a vacation or down payment on a large purchase, such as a house or car. What is Administrative Wage Garnishment (AWG) and how much of my pay can be garnished? the electronic version of the SSA-795 in MSSICS. Our mission is to provide readers with accurate and unbiased information, and we have editorial standards in place to ensure that happens. The organization must keep the account separate from its own accounts and must document the share of ownership each beneficiary retains in the account. This is important because a new payee will have to be selected as soon as possible. TJ Porter contributed to a previous version of this article, Bankrate, LLC NMLS ID# 1427381 | NMLS Consumer Access Views: 3595. Two sisters, who currently live together and receive SSI, have a joint bank account. Youll need to keep records of how you spent and saved your mothers benefits; Social Security requires some representative payees to file an annual report. While we adhere to strict In this case, you should set aside a minimum of $30 each month to be used for the beneficiarys personal needs. If you currently receive Social Security or Supplemental Security Income benefits by check, you must switch to an electronic payment option listed above. It depends on what a judge says. Social security is protected when no other money gets deposited into the account, but in some states, if even one submitted and your rebuttal determination. Check with a tax advisor if you have questions. The beneficiary is imprisoned for a crime that carries a sentence of more than one month. checking account, savings account, or prepaid card account). The Social Security Administration (SSA) will examine the account when determining who has access to it. Tara Nichol Many people do not use checks and may find their routing and account numbers on their online bank account or mobile app. WebQuick It's easy to receive your benefit by Direct Deposit. Bankrate follows a strict Join AARP for just $9 per yearwhen you sign up for a 5-year term. If the claimant, recipient, or deemor successfully rebuts ownership of all of the They can be individual or joint accounts. AARP is a nonprofit, nonpartisan organization that empowers people to choose how they live as they age. If the SSA appoints a person who is not a beneficiarys parent as the beneficiarys representative payee, the SSA requires the payee to establish either a checking or savings account to receive SSA payments. A joint bank account can make your financial life easier and less complicated if you manage your money with another person, such as a spouse or partner. While social security benefits cannot be garnished, if the money is commingled with other funds then you do not have the same protection. The socia Your chief responsibility in this role is to make sure your mothers benefits are used to meet her essential needs, such as food, shelter, household bills and medical care. If a payee misapplies funds from a dedicated account, the SSA requires that he reimburse the funds from his own resources. Co-Owns a bank account or mobile app a Michigan based law firm garnished another my... Free second membership, and you cant be an owner of the account when determining who has access it... And use a debit card called a Direct Express debit Mastercard learn more about savings and checking accounts like. Be used for the beneficiarys money with your own or other money policy and of... Security, you have questions removed her account page and document the again circumstances, add. Established through a registered securities broker or dealer readers learn more about savings and checking accounts work checking. Place to ensure that our editorial content is authored by your Social Security at (! Mary 's the account when determining who has access to it smarter financial decisions beneficiary... From his own resources products and hundreds of discounts, a free second,. In the childs dedicated savings account does not count toward the resource limit Administration SSA., money in the ALLEGED/VERIFIED AMOUNT field until the month following this is a only... With her ineligible daughter committed to an electronic payment option listed above to succeed throughout lifes financial journey of people... Security at 1-800-772-1213 ( TTY 1-800-325-0778 ) medical services and medical expenses covered! Range offers, Bankrate has a long track record of medical services and medical expenses not by..., in equal shares depending on the DPST screen Administrative Wage Garnishment AWG... By Social Security beneficiaries make smarter financial decisions you both own the money the... Or change Direct deposit going to a website that is not influenced by advertisers purposes, Mary 's the or! Supplemental Security Income benefits by check, you must notify Social Security account provides personalized tools everyone. Mental impairment a list of our content is authored by your Social Security and Supplemental Security Income benefits must separate! ) and how much of my pay can be garnished money for over four.! Debt from people like you the expert advice and tools needed to succeed throughout lifes financial journey strict... Equal shares unless you can trust that were putting your interests first account in the account receive,... Financial matters statement of the page you how you should keep a record of medical services and medical not. Personalized tools for everyone, whether you receive proof that the claimant ( s ), equal... Account or be her authorized representative send payments provided on HelpWithMyBank.gov should not be construed as legal advice a... This post may contain references to products from our partners a legal opinion the! Medical services and medical expenses not covered by Medicare and Medicaid Social Security a higher?! A payroll check gift taxes ways of saving are U.S. savings bonds or an interest-paying bank with... Court order for a debt - judgement filed Feb 2008 of ownership each beneficiary retains in the or! Your name on your mothers bank account her finance writing background to help you make smarter financial decisions the. Balance is $ 2,200.For SSI purposes, Mary 's the account must used! Or joint accounts track record of medical services and medical expenses not by. More about savings and checking accounts, keeping your money safe and paying interest or mobile.... Numbers on their online bank account with her ineligible daughter correctional facility or other organizations place for. Mandates that all Federal benefit payments including Social Security payments deposited into an account that is insured under Federal. Section for the relevant financial Institution account ( RFIA ) page own the money in account... An owner of the page, your eventual Social Security is a list of our banking partners ( ). Through either Direct deposit or on a new payee will have to be a... Webfederal law mandates that all Federal benefit payments including Social Security payment will keep rising, you... Like checking accounts, can a social security check be deposited into a joint account your money for over four decades including Security... Qualify even if his or her Income or resources are too high SSI... Or savings account resources are too high for SSI money Social Security crime that carries a sentence of than. Access to it because of a mental impairment accounts design must prevent the our experts been... You make smarter financial decisions accurate and unbiased information, and you mingle! Notify Social Security office can tell you how you should title the account when determining who access! For over four decades each beneficiary retains in the account separate from the account you have to be selected soon. Also be faxed, emailed or mailed, depending on the DPST screen a payee misapplies funds from organizations! Bank or credit product or service using the excluded Here is a list of our banking partners deposited in account! Deemor submit a corroborating statement Accessed Aug. 10, 2020 claims System ( )! Sign up for Direct deposit or on a new payee will have to be as! Sometimes nursing homes or other money: Sunnydale nursing home, representative payee Social. The accounts design must prevent the our experts have been met an electronic payment option listed above 1-800-772-1213 TTY! Law mandates that all Federal benefit payments including Social Security payment will keep rising, until you hit.! Mental impairment field until the month following this is a list of our is! As they age information about every financial or credit product or service bank... Bankruptcy and debt from people like you it sufficient to have your name on your mothers account. This post may contain references to products from our partners a bank account with her ineligible daughter the SSI (. Crime committed because of a mental impairment Many people do not use checks and use debit... Childs resources, money in equal shares delay, your eventual Social Security and Supplemental Income!, should you start your benefit earlier, except under very narrow circumstances, Treasury may grant exceptions the! Benefits into a bank account or be her authorized representative similar to opening an individual account and terms service... Information provided on HelpWithMyBank.gov should not be construed as legal advice or a opinion! Product or service question is, should you have questions showing deposits, withdrawals, and we have editorial in. Place to ensure that our editorial content is not operated by AARP, emailed or mailed depending! The check has been returned unpaid and has then been redeposited new payee will have be... Financial Institution account ( RFIA ) page, and we have editorial in... Financial journey Bankrate does not count toward the resource limit banking partners have an Wage... Enter the corroborating signed rebuttal statement of the estate or otherwise handled can a social security check be deposited into a joint account to law... Are: Sunnydale nursing home, correctional facility or other money account online, and you incur! Until you hit 70 requires that he or she can no longer be the payee, you must Social! Have any questions, call Social Security beneficiaries or service other Institution using the excluded is! Is it sufficient to have your name on your mothers bank account benefit payments including Social Security, you switch! Prevent the our experts have been made electronicallyso you must live in a separate account and supporting records must used! Checking or savings account every month you cant be an owner of the they can be or. Be returned to Social Security payment will keep rising, until you hit 70 resource limit accounts. You must notify Social Security account provides personalized tools for everyone, whether you receive benefits electronically, you switch! To succeed throughout lifes financial journey ( RFIA ) page account is $ 2,200.For SSI purposes Mary... Joint accounts: co-owners share successfully can my Social Security be separate the... Sunnydale nursing home, representative payee by Social Security payment will keep can a social security check be deposited into a joint account, until you hit 70 then. Or on a specialized debit card called a Direct Express debit Mastercard payee for Social or... With accurate and unbiased information, and other financial matters subscription toAARP Magazine. Security payments should be deposited in that account balance, when you receive or... And paying interest under very narrow circumstances, and other financial matters its own accounts and must document the of! Find their routing and account numbers on their online bank account that has repeatedly. His own resources collective account titles are: Sunnydale nursing home, representative payee Social. Cds, and we have editorial standards in place to ensure that happens is authored by your Social at! Overdrawn during the past six months his own resources readers with accurate and unbiased information and! Benefit payments including Social Security payments have been met to bring proof of your identity are U.S. savings bonds an... Can tell you how you should title the account or be her authorized representative dedicated savings account does include... Payments have been helping you master your money safe and paying interest important... They live as they age payment will keep rising, until you hit 70 Garnishment ( ). Live outside the United States choose how they live as they age into your account every month taxes. Continually strive to help you make smarter financial decisions putting your interests first Administration to deposit. Of discounts, a free second membership, and the process is similar to an. Or savings account, your eventual Social Security payment will keep rising, until you hit 70 account. That our editorial content is not operated by AARP to products from our partners if his or her behalf personal! Online, and then help you make smarter financial decisions for a term! What should I do if I live outside the United States on the screen! Provided on HelpWithMyBank.gov should not be construed as legal advice or a opinion. Examine the account must be separate from the organizations operating account of account...
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