Electronic Funds Transfer, or EFT, allows Medicare payments to be deposited directly into the bank account associated with your Medicare enrollment. EFT provides a secure and convenient alternative to paper checks and can help reduce administrative work, prevent lost or stolen payments, and make payment reconciliation easier.

To establish or update EFT, submit the Electronic Funds Transfer Authorization Agreement (Form CMS-588).

• When to Submit EFT Information
• How to Submit EFT Information
• Information You Will Need
• Before You Submit
• After Submission

When to Submit EFT Information

Submit EFT information when you:

• Enroll in Medicare
• Revalidate your Medicare enrollment
• Submit a change to your enrollment information
• Change your bank or bank account
• Change in Medicare Administrative Contractor (MAC)
• Authorize Medicare payments to a chain home office

CMS requires EFT at the time of enrollment, revalidation, a change of MAC, or an enrollment change request. Changing ownership or practice location also requires the applicable Medicare enrollment change to be submitted before or with the EFT authorization.

Physicians and individual practitioners who have reassigned all Medicare benefits to an enrolled provider or supplier do not complete a separate CMS-588 for those reassigned payments. The EFT information should identify the person or organization receiving the reassigned benefits.

How to Submit EFT Information

Submit Electronically Through PECOS

PECOS is the recommended method for submitting Medicare enrollment information. Through PECOS, you can enter or update EFT information, upload supporting documents, electronically sign the application, and submit it online. PECOS applications generally process faster than paper applications.

When completing the EFT topic in PECOS, carefully review all information before submitting the application. Confirm that the account holder name, taxpayer identification number, NPI, Medicare identification number, bank routing number, account number, and account type are correct. Include all leading zeros in the routing and account numbers.

Submit Form CMS-588

If you are submitting EFT information outside of PECOS, complete the current CMS-588 and send it to the MAC that serves your geographic area. The paper form must be printed, signed by hand, and submitted with the required supporting documentation. Keep a copy of the completed form and supporting documents for your records.

Always download a new copy of the form before submitting it. CMS forms and instructions may be updated, and using an outdated form could delay processing.

Information You Will Need

Before beginning the CMS-588 or PECOS application, gather the following information:

• The provider's or supplier's legal business name, or the individual practitioner's name, as reported to the Internal Revenue Service (IRS)
• The account holder's street address
• The Tax Identification Number (TIN), including the EIN for an organization or corporation or the Social Security Number (SSN) for an enrolling individual
• The 10-digit National Provider Identifier (NPI)
• The Medicare identification number, if one has been issued
• The financial institution's legal name and street address
• The nine-digit electronic routing transit number
• The complete bank account number, including all leading zeros
• The account type, either checking or savings
• Contact information for a person who can answer questions about the EFT submission
• Acceptable documentation confirming the bank account information and legal business name

A provider or supplier may have only one EFT account for each Medicare enrollment. If the provider or supplier submits claims to more than one MAC, a separate EFT authorization must be submitted to each applicable contractor.

Account Holder Information

Enter the legal business name exactly as it is reported to the IRS. If enrolling as an individual, enter the physician's or individual practitioner's name. The bank account receiving Medicare payments must be held in that individual's name or in the legal business name of the Medicare-enrolled person or organization.

Enter the account holder's street address. Do not enter a post office box in the account holder street-address field. Provide the applicable TIN, the 10-digit NPI, and the Medicare identification number if one has already been issued. If the Medicare identification number has not been issued, leave that field blank. Institutional providers should enter only one Medicare identification number.

Financial Institution Information

Enter the financial institution's name, street address, routing transit number, depositor account number, and account type. The routing number must contain nine digits, and all applicable leading zeros must be included in both the routing and account numbers. Do not use a post office box for the financial institution's street address.

Review these numbers carefully before submitting the application. Incorrect or incomplete banking information may delay EFT enrollment or direct Medicare payments to the wrong account.

Required Bank Documentation

Submit either a voided check or a bank letter that verifies the account information. The supporting document must identify:

• The name on the account
• The electronic routing transit number
• The complete account number
• The account type, either checking or savings

A bank letter must be on the financial institution's letterhead and include the bank officer's name and signature. Supporting bank documents must be in the provider's, supplier's, or entity's legal business name. Starter checks are not acceptable.

Contact Person

Provide the name, title, telephone number, and email address of someone who can answer questions about the EFT submission. The contact person should be familiar with the enrollment and banking information and be available if the MAC needs clarification or verification.

Signature Requirements

The CMS-588 must be signed and dated by an authorized or delegated official identified on the Medicare enrollment application on file with the MAC. Include a telephone number where the signer can be reached. An office employee who does not have authorized or delegated official status may not sign the EFT authorization.

For an electronic PECOS submission, complete the applicable certification and electronic signature steps before submitting the application. For a paper application, the signature must be handwritten.

Chain Home Office Payments

If Medicare payments will be deposited into an account controlled by a chain home office, identify the chain home office on the EFT submission and provide the required authorization letter. The letter must authorize the MAC to make payments to the account maintained by the chain home office and must be signed by authorized or delegated officials from both the provider and the chain home office.

The chain home office legal business name and related information must be consistent with the Medicare enrollment record.

Changing a Bank or Bank Account

To change a financial institution, routing number, bank account number, or account type, submit updated EFT information through PECOS or complete a new CMS-588. Continue monitoring the current account while the change is being processed. Medicare will continue sending direct deposits to the financial institution on file until CMS and the MAC have sufficient time to process the updated authorization.

If the change is connected to a change of ownership or practice location, submit the applicable Medicare enrollment change before or with the updated EFT authorization.

Before You Submit

Review the EFT information against the bank documentation before submitting the application. Confirm that:

• The legal business name matches the IRS and Medicare enrollment records
• The bank account is held in the correct individual or legal business name
• The NPI and TIN are accurate
• The Medicare identification number is entered if one has been issued
• The routing number contains nine digits
• All leading zeros are included
• The account number and account type are correct
• The voided check or bank letter contains all required information
• The application is signed and dated by an authorized or delegated official
• Any related enrollment changes are included

Incomplete or inconsistent information may result in a request for additional information and delay the EFT enrollment or update.

After Submission

EFT requests are subject to a pre-certification period during which the account information is verified through the qualifying financial institution before Medicare direct deposits begin. EFT enrollment authorizes electronic payments only and does not enroll an individual or organization as a Medicare provider or supplier.

Monitor communications from the MAC after submission. Respond promptly if additional information or corrected documentation is requested.