NY unemployment direct deposit rejected by bank, but my account info is correct - help!

The same thing happened to me in January! The system was showing the correct account info but payments weren't going through. Turns out there was a glitch in the NYSDOL system where it was trying to send the payment with my middle initial included in my name, which didn't match my bank account exactly. I had to call and have them fix it on their end.

this isnt a bank issue its a DOL issue. they do this sometimes. just keep trying to call them.

This is actually a common issue that's been happening since the NYSDOL updated their payment system in early 2025. There are a few possibilities: 1. There might be a slight discrepancy between how your name is listed in the NYSDOL system versus your bank (middle initial, hyphenation, etc.) 2. The system could be trying to deposit to a closed account if you've changed banks recently 3. There could be a system flag on your account for identity verification You'll need to speak with a claims specialist at NYSDOL. Unfortunately, the phone lines are extremely busy right now due to the new quarter starting.

I had the EXACT same problem last month!! It was so frustrating. My payment was rejected even though all my info was correct. After TWO WEEKS of trying to get through on the phone, I finally learned that they had some kind of internal system flag on my account because I had recently updated my address. They never notified me about this! Once I finally got through to someone, they fixed it in 5 minutes and reissued my payment. But getting through was IMPOSSIBLE!!

After struggling with the same issue for days and getting nowhere with the regular phone number, I finally tried Claimyr.com and got connected to an actual NYSDOL agent in about 20 minutes. They have a system that navigates the phone tree and waits on hold for you, then calls you when an agent is on the line. Saved me days of frustration. They have a video demo at https://youtu.be/Rdqa1gKtxuE that shows how it works. In my case, there was a system flag because my name in their system had a hyphen my bank account didn't have.

There's a specific procedure for rejected direct deposits that most people don't know about. You need to: 1. Log into your NY.gov account 2. Go to your payment history page and locate the rejected payment 3. Take a screenshot of the rejection notification 4. Submit a secure message through the message center with the subject line "DD REJECTION" and attach the screenshot 5. Also include your claim ID, last 4 digits of your bank account, and bank name This bypasses the regular phone queue and goes to their direct deposit resolution team. They typically respond within 48-72 hours.

just switch to the debit card its way easier

UGH the whole NY unemployment system is SUCH A MESS right now!!! My cousin had this exact same problem and it took her forever to get it fixed. She ended up having to go to an actual office in person because the phone system is completely useless. They are seriously the WORST agency in the entire state!!!

Quick update for anyone experiencing this issue: NYSDOL just published a notice on their website yesterday acknowledging a system issue with direct deposits that started after their April 10th system update. They're working on fixing it, but in the meantime, they recommend either: 1. Switching to the debit card option temporarily, or 2. Submitting the DD REJECTION message as someone mentioned above They estimate the fix will be implemented within 7-10 business days.

I think the NYSDOL is doing this on purpose to save money. They reject payments hoping people will give up trying to get their benefits. My payment was rejected twice before it finally went through.

UPDATE: I wanted to let everyone know what worked for me in case someone else has this problem. I tried the Claimyr service that someone recommended, and I actually got through to a representative in about 30 minutes! The agent explained that there was a flag on my account because my bank had recently updated their processing codes after a merger, but my account info in the NYSDOL system hadn't been updated. She fixed it while I was on the phone and reissued my payment. She said it should be in my account within 2-3 business days. Such a relief! Thanks everyone for your help!