Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities. UponArriving has partnered with CardRatings for our coverage of credit card products. UponArriving and CardRatings may receive a commission from card issuers.
With so many different proposals getting thrown around, it’s hard to keep track of the big proposals that matter to the most amount of people. So here’s a breakdown of the three big things to be on the lookout for when it comes to the next stimulus package and how things are looking for those.
Second stimulus checks
It’s no secret that millions of Americans are interested in receiving an additional round of stimulus checks. The current proposal is for $1,200 checks to go out to Americans but with increased eligibility for certain individuals like dependents.
There is clear support among most Democrats for this measure but Republicans have voiced opposition to another round of funding. Some such as Mitt Romney have even suggested that more checks would be “unlikely.”
Yet, we’ve heard some degree of interest in more checks coming from the White House.
When providing Senate testimony on Wednesday, Treasury Secretary Steven Mnuchin stated: “I think we’re going to seriously look at whether we want to do more direct money to stimulate the economy.”
The very next day he reiterated the Trump administration’s interest and stated that the administration is “very seriously considering” a second round of stimulus checks, according to The Wall Street Journal.
So there is serious consideration happening in the White House, clear democratic support, and a fair amount of opposition from Republicans for one more round of stimulus checks.
We likely will not know for sure what will happen until we get into July and an additional stimulus package will likely not be finalized until the end of July.
This means that the earliest people should expect more checks should be August.
Of course, you don’t want to count on this happening or rely on it entirely because it is still far from a sure thing.
The next major factor we are tracking is unemployment benefits.
Currently, under the CARES Act, unemployed individuals are receiving an additional $600 a week in benefits. This has resulted in some people receiving more money from unemployment benefits then they were working.
Those benefits are set to expire on July 31 so there is a firm deadline on whether or not those perks will continue.
There have been some alternative proposals to help out those unemployed but we don’t know if the benefits will be extended through the end of the year.
Recent job reports have been slightly positive but there is also the growing spread of coronavirus that is kicking back up and that could force future shut downs. So it’s a really tough call on whether or not we will see those benefits extended in the same form that they currently exist.
There have been some nice benefits proposed for student loan holders.
The main one is an extension on deferment of payments and interest that would extend another year beyond October. I think the extension is going to happen but I’m not sure about the time frame.
The more controversial is the loan forgiveness for distressed loan holders. I honestly don’t see that passing because it does not seem directly related to stimulating the economy. Many Republicans also feel that way.
There are other important elements of the next potential stimulus package including those for aid to local governments but these are the big three that a lot of people are highly concerned about. And unfortunately, it’s still just too early to know what will happen.
UponArriving has partnered with CardRatings for our coverage of credit card products. UponArriving and CardRatings may receive a commission from card issuers. Responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.
Daniel Gillaspia is the Founder of UponArriving.com and creator of the credit card app, WalletFlo. He is a former attorney turned full-time credit card rewards/travel expert and has earned and redeemed millions of miles to travel the globe. Since 2014, his content has been featured in major publications such as National Geographic, Smithsonian Magazine, Forbes, CNBC, US News, and Business Insider. Find his full bio here.