Canceled direct deposit for NY unemployment - will payment go to KeyBank by Tuesday?
I just canceled my direct deposit for my NY unemployment benefits yesterday (Thursday) and now I'm worried about when I'll get my payment. Will it automatically go to my KeyBank account by Tuesday? Also, do I have to wait for them to process my information before I get the KeyBank card? This is my first time switching payment methods and I'm stressing about paying rent next week.
18 comments
Anastasia Popov
when u cancel direct deposit it takes like 2-3 business days to process then they'll automatically start sending it to keybank. u should get the card in about 7-10 business days after they process the change
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NeonNinja
Thanks but I'm confused. If they process it in 2-3 days, where does my payment go in the meantime? Will Tuesday's payment still go to my old bank or will it be held until I get the KeyBank card?
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Sean Murphy
When you cancel direct deposit with NYSDOL, your payment will automatically be redirected to a KeyBank debit card account. However, the timing can be tricky: 1. If your cancellation was processed before your payment was released, it will go to KeyBank 2. If the payment was already in process before the cancellation took effect, it might still go to your old bank account The KeyBank card typically arrives within 7-10 business days after your first payment is deposited to that account. You don't need to wait for the card to have funds deposited - the account is created automatically and funds will accumulate there even before you receive the physical card. For Tuesday's payment, I'd recommend checking your payment history on your NYSDOL account on Tuesday or Wednesday to see which method was used.
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NeonNinja
Thank you for explaining! I'll check my payment history on Tuesday. Do you know if there's a way to check online if they've created the KeyBank account for me yet?
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Zara Khan
I had the EXACT same issue last month!!! It's so frustrating how they don't explain this stuff clearly. For me, the payment that was processing when I canceled DD still went to my old bank. Then the next one went to KeyBank but I didn't have the card yet so I couldn't access it for like a week. SUPER annoying when you need the money right away!!
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NeonNinja
Ugh that's what I'm afraid of. I really need this money for rent. Did you call them to try to speed things up with the card?
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Luca Ferrari
I went through this in January. Unfortunately, you're in that awkward waiting period now. Your Tuesday payment will most likely go to KeyBank (unless the cancellation hasn't fully processed yet). Here's the problem: you won't have access to those funds until you physically receive the KeyBank card, which can take 7-10 business days as others mentioned. You CAN call KeyBank directly (number on NYSDOL website) once you see a payment has been deposited to check if your card has been mailed and when. But honestly, when I needed to reach a live person at either NYSDOL or KeyBank to get help with my card issue, I ended up using Claimyr (claimyr.com). They got me connected to an agent in about 15 minutes when I'd been trying for days. They have a video showing how it works: https://youtu.be/Rdqa1gKtxuE - saved me a ton of stress during my payment delay.
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Anastasia Popov
never heard of that service before, does it actually work? hate waiting on hold for hours
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Luca Ferrari
Yeah it worked for me. I was skeptical too but was desperate after trying to get through for 3 days. The video on their site shows exactly how it works - basically they navigate the phone system and wait on hold for you, then call you when they've got an agent on the line.
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Sean Murphy
To add some clarity here: If you DO call KeyBank directly (whether using that service or not), make sure you have your NYSDOL claim information ready. They'll need to verify your identity before giving you any information about your card status.
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Nia Davis
I worked for a state unemployment office for 7 years. Let me clear up some confusion: 1. When you cancel direct deposit on Thursday, any pending payment already in process will likely still go to your bank account. If no payment was in process yet, it will go to KeyBank. 2. Your KeyBank account is created automatically when the first payment is directed there. You don't need to do anything to "process your information" - that happens on NYSDOL's end. 3. The KeyBank card typically ships 24-48 hours after the first deposit is made to your KeyBank account. 4. Yes, there is an awkward gap where your money is in the KeyBank account but you can't access it without the card. This is unfortunately just how the system works. If you're worried about rent, call KeyBank directly at 1-866-295-2955 once you see a payment has been posted to ask about expedited shipping on the card.
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NeonNinja
Thank you so much for this detailed info! I really appreciate it. I'll call that KeyBank number as soon as I see the payment post.
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Mateo Martinez
why would u cancel direct deposit tho?? debit cards have all those fees and its slower to get ur $$. just curious
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NeonNinja
My bank account got compromised last week so I had to close it. Trust me, I'd rather have direct deposit but I have to wait until my new account is set up.
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QuantumQueen
THE WHOLE SYSTEM IS A MESS!!! I switched back to direct deposit in February after using the KeyBank card and guess what? They STILL sent my money to the KeyBank card for TWO WEEKS after I updated my info!!!! Then I spent FOUR HOURS on hold trying to talk to someone. This system is DESIGNED to frustrate people!!!!
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Sean Murphy
While I understand your frustration, this isn't typical. Most payment method changes are processed within 2-3 business days. If there's a delay beyond that, it usually indicates there was an issue with the information provided or a system flag on the account. Did you verify your bank information was entered correctly?
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NeonNinja
Update: My payment from Tuesday did go to KeyBank! But now I'm anxiously waiting for the card. Called the KeyBank number and they confirmed it was mailed yesterday, so hopefully I'll have it by next week. Thanks everyone for your help!
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Anastasia Popov
nice! glad it worked out
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