Payment Experience
The payment experience — how funds are delivered and received — is as important as the program design itself. A smooth, dignified payment process reinforces participant trust and reduces attrition.
Banking Barriers
A meaningful subset of the Persian-American community, particularly recent arrivals and elderly immigrants, may be unbanked or underbanked. Reasons include lack of credit history in the U.S., language barriers at financial institutions, distrust of banks from prior country experiences, and documentation requirements that can deter those with uncertain immigration status.
Programs should offer multiple payment options: direct deposit to a bank or credit union account, prepaid debit cards (such as Visa or Mastercard prepaid cards), payment apps accepted by unbanked individuals (such as PayPal or CashApp with ID verification), and in some cases, check disbursement. Partner with community development financial institutions (CDFIs) or credit unions that serve immigrant communities and offer low-barrier account opening.
Dignity in Payments
The manner in which payments are made matters. Ensure that the payment experience does not feel bureaucratic, stigmatizing, or surveillance-oriented. Debit cards or direct deposits are generally preferred over check cashing services, which can be inconvenient and sometimes associated with predatory fees.
Notify participants of upcoming payments in advance via their preferred communication channel (text, email, or phone call in Farsi). Make it easy to report payment issues without having to navigate complicated bureaucratic processes.
Financial Inclusion
Use the payment relationship as an opportunity to promote financial inclusion. Offer voluntary financial literacy workshops in Farsi covering budgeting, savings, credit building, and navigating U.S. banking. Partner with a CDFI or community bank to offer participants a pathway to open a first bank account with no credit requirements.
Ensure participants are aware of other benefits they may be eligible for — such as the Earned Income Tax Credit (EITC), Child Tax Credit, and SNAP — that can complement guaranteed income without compromising their immigration status.
Tax and Reporting Implications
Guaranteed income payments may be taxable income depending on program structure. Consult with tax professionals and provide participants with clear guidance — in Farsi — on how to report payments on their tax returns. Offer free tax preparation assistance through VITA (Volunteer Income Tax Assistance) or partner organizations.