Understanding EBT, SNAP, and Related Charges

What Does EBT Mean?

EBT stands for Electronic Benefits Transfer. It is a system that allows state welfare departments to distribute benefits like food stamps (SNAP) and cash assistance via a magnetically encoded payment card, similar to a debit card.

What Are Food Stamps and How Do They Work?

Food stamps, now commonly referred to as the Supplemental Nutrition Assistance Program (SNAP), are government-issued benefits to help low-income individuals and families purchase food. Recipients receive funds on an EBT card, which can be used at authorized retailers to buy eligible grocery items.

What Is an EBT/SNAP Card?

An EBT/SNAP card is a plastic payment card issued to eligible beneficiaries to access their SNAP or cash assistance benefits. It works like a debit card at point-of-sale terminals, deducting the purchase amount from the user's benefit balance. Charges labeled "EBTWM" on statements typically refer to ATM withdrawal fees or other transaction-related costs.