DOGE Credit Cards: The Department of Government Efficiency (DOGE), headed by Elon Musk, has deactivated 470,000 federal credit cards. This move is part of a bigger push to reduce costs and improve oversight in federal programs. This change follows a major audit that looked at more than 30 federal agencies. The audit found a large number of accounts that were either inactive or no longer needed.
The credit cards that were deactivated belonged to three main groups
- Accounts that hadn’t been used recently.
- Cards linked to people or organizations no longer involved in government programs.
- Accounts flagged for suspicious or duplicate activity.
Some of the issues uncovered during the audit raised serious concerns, such as transactions linked to deceased individuals or people who were too old to use the cards.
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The new system also includes stricter ID verification measures like the government now requires birthdate checks to make sure that no underage individuals or fake applicants can get access to federal credit or loans. These changes are part of a larger reform that affects about 4.6 million active federal credit card accounts, which handled nearly $40 billion in transactions in 2024 alone.
Why Were So Many Credit Cards Canceled?
The main reasons for the cancelling these accounts were inactivity, misuse, and fraud. Some of the credit cards that were deactivated had not been used in a long time, while others were linked to people or institutions that no longer work in authorized programs.
Perhaps the most alarming finding was that some of the cards were still active even though they were tied to deceased federal workers or people who were over 120 years old. These types of issues raise serious concerns about identity theft and the effectiveness of federal oversight.
DOGE officials argue that these new measures are necessary to close gaps that have allowed public resources to be misused due to old data and poor management. By eliminating outdated and suspicious accounts, the department believes it can save taxpayer money and reduce fraud.
Impact on Government Operations
One of the biggest changes made by DOGE was the closure of the US Agency for International Development (USAID). This decision has sparked criticism from those who believe it will hurt the US’s global influence, particularly compared to China.
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Despite the backlash, the department insists that these changes are necessary to cut waste and improve how the government works. DOGE believes the restructuring is necessary to make the government more accountable and make sure resources are used wisely.
Is DOGE Legal?
Some critics have raised concerns about whether DOGE’s actions are constitutional. They argue that since Elon Musk is not a government official his role in the department might go against laws that require Senate confirmation for certain positions. There are also worries about whether DOGE is following the rules for federal transparency and record-keeping.
DOGE was created by a presidential executive order and operates under the authority of the Executive Office of the President, which means it is a legal entity, even though it may operate in some grey areas.
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