Nearly 470,000 government credit cards have been deactivated by the Department of Government Efficiency (DOGE), led by billionaire Elon Musk, as part of an initiative to curb excessive spending across more than 30 federal agencies.
Over the past seven weeks, DOGE has carried out an extensive audit revealing that about 4.6 million credit cards were in circulation within federal agencies, generating nearly $40 billion in spending last year. Following the discovery, the task force announced on X (formerly Twitter) that almost half a million cards had been canceled. Federal officials say this could signal more widespread reforms in the near future, as President Donald Trump originally created DOGE to streamline the federal workforce and stamp out inefficiency.
The new wave of credit card deactivations raises questions about ongoing reforms in government spending
DOGE’s announcement also noted that earlier this year, around 200,000 cards were suspended across 16 agencies. Now, an additional 270,000 have been deactivated, leading experts to wonder: Will other federal resources face similar cutbacks? Some officials worry about unintended consequences, such as restricted purchases for key programs or emergency operations. In one recent instance, the Transportation Security Administration (TSA) experienced a temporary slowdown in bomb-sniffing dog unit purchases after its own card allotment was reduced.
Below is a quick breakdown of estimated deactivations by agency:
Agency | Approx. Cards Deactivated |
---|---|
Department of the Interior | 40,000 Travel + 20,000 Purchase |
Health and Human Services (HHS) | 43,700 Travel + 2,235 Purchase |
Transportation Security Administration (TSA) | 15,000 Travel + 5,000 Purchase |
Other Federal Agencies | 144,000+ Combined |
These figures might look alarming, but DOGE insists that essential operations remain intact.
How some agencies could face unintended consequences from large-scale financial restrictions
Officials at HHS and the Department of the Interior have voiced concerns about urgent expenses—like last-minute travel or crucial equipment purchases—that might now be delayed without readily available cards. Michael Ryan, a finance specialist, warned that these cards are “lifelines” for many agencies to keep day-to-day operations running smoothly. Meanwhile, Elon Musk posted on X, “Twice as many credit cards are issued and active than the total number of government employees! Crazy.”
DOGE plans to expand its audit to additional agencies in the coming months. Many observers see these deactivations as a crucial step in reducing government waste, while others remain cautious about potential disruptions to vital federal services. Federal workers who rely on these cards are advised to explore alternative purchasing avenues and stay updated on any new guidelines from DOGE or their respective agencies.