California inflation relief debit cards set to expire April 30, leaving unclaimed funds at risk

File Photo from the State of California Franchise Tax Board

State urges residents to use Middle Class Tax Refund balances before deadline; unused funds will revert to general fund

LOS ANGELES — California officials are urging residents to act quickly as Middle Class Tax Refund (MCTR) debit cards — issued during the state’s pandemic-era inflation relief program — are set to expire on April 30, 2026.

The one-time payments, administered by the California Franchise Tax Board, were distributed beginning in late 2022 to help offset rising costs of living. Eligible taxpayers received between $200 and $1,050, depending on income, filing status, and household size.

Millions still unclaimed

Despite the scale of the program, a significant portion of funds remains unused. State data indicate that hundreds of millions of dollars are still sitting on debit cards, with roughly 960,000 recipients never activating their cards. Others used only part of their balance.

In total, California distributed about $9.2 billion through direct deposits and prepaid debit cards to millions of residents.

Fixed deadline, no extensions

Under program rules, all debit cards expire April 30, regardless of activation status. After that date, any remaining balance will automatically revert to the state’s general fund, with no provision for reissuance.

Officials emphasize that the deadline is statutory, meaning it cannot be extended administratively. The final date to request replacement cards has already passed, further limiting options for those who misplaced them.

How to access remaining funds

Cardholders can still retrieve their money before expiration by activating the card online or by phone, making purchases, withdrawing cash at ATMs, or transferring funds to a bank account.

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