Frank Bisignano has begun his term as Commissioner of the Social Security Administration (SSA), inheriting a role tainted by controversy over the agency’s strategy for addressing benefit overpayments. As Bisignano assumes leadership, the SSA is resuming a hard-line policy to recover overpayments, allowing whole monthly checks to be withheld from beneficiaries until the debt is fully repaid. For many seniors and people with disabilities, this measure will mean going without necessities.
Why overpayments matter now
The reinstatement of the SSA’s 100% clawback policy, effective March 27, reverses a more lenient rule under the Biden administration that capped repayments at 10% of benefits to avoid financial hardship. Now, some beneficiaries may see their entire monthly payment withheld due to past overpayments—often the result of agency errors rather than fraud.
Advocates are concerned. Dan Adcock of the National Committee to Preserve Social Security and Medicare pointed out the stakes: “If an overpayment is being made, that means the Social Security Administration is withholding 100% of their payment. and they are without money to pay for food.”
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Bisignano’s corporate approach
A former CEO of financial services giant Fiserv, Bisignano brings a private-sector mindset to a government agency that sorely needs it. During his Senate confirmation hearing, he promised to improve SSA operations through technology, automation, and artificial intelligence to prevent future overpayments.
“At the end of the day, we must determine the ability to repay and work it out,” he said. “We must be human in the process, too.”
Balancing technology with humanity
Bisignano’s confirmation comes at an opportune time when confidence in the SSA is weak. Public data security fears have been on the rise following past breaches with the Department of Government Efficiency (DOGE), an organization that has Elon Musk attached to it and was backed by President Trump. Bisignano reassured lawmakers he would prioritize privacy: “I am going to do whatever is necessary to protect the information.”
Critics weigh in
While Bisignano’s business expertise is acknowledged, financial experts caution against a purely bottom-line approach. “The former Fiserv CEO knows payment systems forwards and backwards,” said financial consultant Michael Ryan. “But Social Security isn’t just another financial pipeline.”
Drew Powers stated, “Withholding 100% of payments is a bridge too far. Consider a 95-year-old who’s been overpaid by $30 a month for 30 years. Cutting off their payments completely for months? That’s absurd.”
Looking ahead
Bisignano said he has no plans to privatize Social Security or cut benefits. But he would not rule out structural changes. Experts like Ryan would like him to implement more humane repayment policies, like payment plans and easier waivers, so people aren’t left without income due to bureaucratic errors.
If Bisignano can reduce overpayment rates and treat people with fairness,” said Alex Beene of the University of Tennessee, “he might be able to restore confidence in the system—a thing the SSA badly needs.”
