We plan to launch the PayAssure service sometime before year-end 2021. While you cannot sign up for PayAssure today, you can pre-register with NO obligation to lock-in a 25% discount to the already low subscription price of $2.99 per month, payable only after we launch.

Thereafter, if you still wish to become a PayAssure member, click on the Membership link (not yet available), which will walk you through the digital sign-up process of:

• assigning your back pay in the event of a government shutdown to Federal Holdings,
• providing relevant personal and financial information, and
• executing the financial agreement.

Note that all personal and financial information will be stored on the secured data base of our commercial banking partner, NOT at Federal Holdings.

PayAssure is not insurance. It is a commitment to provide funds to federal employees to replace paychecks missed as a result of a government shutdown. Those funds are repaid by the government payroll centers via the assignment of PayAssure member back pay to Federal Holdings.

Yes. There are NO credit checks required to become a PayAssure member. This, along with a cost of pennies a day, means that ALL federal government employees can become PayAssure members.

PayAssure members are required to assign their back pay in the event of a government shutdown to Federal Holdings. When a shutdown occurs, Federal Holdings confirms electronically whose paychecks have and have not been affected. Federal Holdings then automatically deposits bridge loan funds into the accounts of affected PayAssure members one business day after each missed pay date.

Once the shutdown ends, the back pay of affected PayAssure members is automatically transferred directly from the government payroll centers to Federal Holdings, thereby redeeming the financial obligations of PayAssure members, for whom there’s NO hassle, NO missed paychecks, NO hardships and NO financial hangover.

Yes. While PayAssure is offered only as an annual membership, part-time workers pay subscription fees only for the time they are employed by the federal government.

Yes. The same PayAssure service available to all federal government employees is available on the same terms to all District of Columbia employees.

The proximate cause of a federal government shutdown is failure to pass any of the 12 appropriation bills that fund the government after the previous appropriations have expired.

Under the separation of powers created by the United States Constitution, the appropriation and control of government funds for the United States is the sole responsibility of the United States Congress. Each year, Congress must propose budget legislation for the next fiscal year, consisting of 12 appropriations bills aimed at determining the levels of spending for each federal department and government program, one bill for each Appropriations subcommittee. The finalized versions of the 12 appropriations bills are then voted upon by both the House of Representatives and the Senate. After each bill passes both chambers, it proceeds to the President of the United States to sign the bill into law.

The annual budget and appropriations process established by Congress in 1974 requires lawmakers to complete this process by the end of the previous fiscal year, September 30. The problem is Congress has only met this deadline four times since 1974.

In the event all 12 appropriations bills have not been passed by September 30, Congress typically passes a series of continuing resolutions (CR) to allow lawmakers more time to complete work on the spending bills. In the absence of a CR, a government shutdown occurs, and all federal agencies and programs funded by any of the yet-to-be-passed appropriations bills must discontinue all non-essential discretionary functions until new funding legislation is passed and signed into law. Essential services continue to function, as do mandatory spending programs. However, the payroll of workers employed by any of these affected agencies or programs is deferred until such time as the lapse in appropriations is resolved.

The cost of the PayAssure service is just $2.99 a month, or $1.38 per bi-weekly pay period (less the 25% discount if you have pre-registered). In other words, the peace of mind in knowing you will never miss another paycheck due to a government shutdown can be yours for less than 10 cents a day.

It is important to note that Federal Holdings is not an insurance company, funding claims from the liquidation value of our assets. Rather, we borrow money as needed. The Federal Holdings team are experts in asset securitization and structured finance. We use PayAssure member assignments of federally-guaranteed back pay as collateral to raise billions of dollars in very low-cost funding via the liquid $300 billion asset-backed commercial paper market. That’s why we can lend money to our members at rates typically below the Prime Rate, the interest rate commercial banks charge their highest quality commercial borrowers.

While not available now, you can pre-register today with NO obligation to lock-in a 25% discount to the already low subscription price of $2.99 per month, payable only after the service is launched. We expect PayAssure to be available before year-end 2021.

All federal government employees at risk of missing paychecks due to a government shutdown are eligible to become PayAssure members. There are no credit checks, and both full-time and part-time workers are eligible. The only requirement beyond completing the application process (see How do I sign up for PayAssure?) is that you have “direct deposit” of your paychecks.

The funds which are automatically deposited into PayAssure member accounts one-business day after each missed pay date are the proceeds of a bridge loan. After the government shutdown ends, the back pay you assigned to Federal Holdings is automatically sent directly from the government payroll center to Federal Holdings, redeeming your loan obligation.

That’s it. No hassle, No hardship, No hangover.