The Federal Trade Commission warns of assisted living facilities or nursing homes attempting to keep the stimulus payments that belong to the residents, not them.
When the first round of Economic Impact Payments, which is called EIP 1.0, went out, some nursing facilities attempted to take the stimulus payments intended for their residents, particularly those on Medicaid. It was not legal, so some attorney generals have been very busy recovering those funds for the rightfully intended.
The second round of Economic Impact Payments $600 per person for qualified persons has already begun being dispursed. So the Federal Trade Commission would like everyone in nursing homes and their loved ones to be aware. The money is meant for the person, not the place they might live.
The facility has no rights to his money and can not require that somebody signs it over to them, even if the resident is on Medicaid.
You are encouraged to contact the States Attorney General right away if you hear of a nursing home or assisted living facility attempting to keep this money. Also, report them to the Federal Trade Commission.