U.S. Treasury Secretary Steven Mnuchin said Monday (Dec. 21) that Americans who meet the eligibility requirements for direct payments under the new Covid-19 relief bill could receive relief checks as soon as next week.
Mnuchin told CNBC host Jim Cramer on Monday, “Good news, it’s a very, very quick way to put money into the economy. I want to emphasize: people are going to see this money early next week.”
“So it’s very fast, and this money will still be circulating in the company (operations).” He said.
He added, “People going out and spending this money helps small businesses and helps put more people back to work.”
On Sunday evening, Congress reached agreement on a new, $900 billion Covid-19 bailout bill that is expected to be voted on in Congress this week. The latest bill includes provisions similar to those in the CARES Act.
Under the terms of the new Covid-19 bailout bill, individuals, including children, would receive $600 in direct payments. A family of four could eventually receive $2,400. Relief payments will be reduced for individuals who earn more than $75,000 during 2019, and relief checks will not be available for individuals who earn more than $99,000 during that year.
Congressional Democrats said the bill would put $284 billion into the Salary Protection Program’s small business loans. The new bill would also allocate $20 billion to small businesses and $15 billion to live events.
If passed, the legislation would also include $300 in federal unemployment benefits; this unemployment benefit program, which was awarded during the pandemic, would be temporarily retained to expand eligibility for unemployment insurance.
Mnuchin led negotiations with top Democrats on the pandemic relief bill earlier this year in an effort to reach a new stimulus deal; Senate Republicans, led by Majority Leader Mitch McConnell (R-Ky.), have now taken over consideration of the bill.
Mnuchin advocates a more targeted spending bill that should work to help industries hit hardest by the pandemic, such as airlines and restaurants.
“Unemployment has come down,” Mnuchin said Monday. “(The stimulus bill) is now more targeted. I think in a short period of time (the U.S. economy) needs this bill, and I think it will get us through the (economic) recovery.”
Democrats such as House Speaker Nancy Pelosi (D-Calif.) and Senate Minority Leader Chuck Schumer (D-N.Y.) said the $900 billion bill is necessary, but not enough.
Democrats said they expect the Covid-19 infection to strengthen in the United States this winter and that Congress may need to pass more stimulus measures in the coming months.
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