The Berlin payment card functions like a bank card, but it comes with restrictions. A cash withdrawal limit of €50 per month during the first six months will be in place. Transfers abroad will not be possible. After six months, the limit is lifted, and card recipients will be able to access their funds freely. The authorities aim to maintain greater control over the money of benefit recipients.
Berlin is the last German state to introduce the payment card. The programme was slowed due to internal conflicts between the CDU and the SPD-led Senate Department for Social Affairs over the exact design of the card. Proponents of the card scheme hope the payment card will make Germany a less attractive destination for migrants.
The payment card has also received massive backlash, with opponents of the scheme arguing that it restricts the freedoms of refugees and hinders integration. They point out that cash is often the only accepted form of payment at flea markets and on children’s school trips as examples of how it can negatively affect recipients’ efforts at integration.
