The last round of checks as part of the massive US stimulus program is expected to come out in the coming days.
The main groups who will receive these payments include people who are not required to file taxes, such as those receiving Social Security, Supplemental Security Income (SSI) and veterans benefits. Additionally, filers who have recently provided banking information to the IRS will receive the payments.
The first waves of $1,200 (for individuals) or $2,400 (for couples) and $500 checks (per child) have begun touch bank accounts earlier in the month. The first were people who had filed their taxes with bank account information. The last to receive stimulus payments are those asking the IRS to send paper checks, which will take weeks or even months. An IRS spokesperson says PYMNTS that checks will continue to arrive throughout the summer.
Mike Cagney, CEO and co-founder of Figure Technologies, recently told PYMNTS that slow stimulus payments show why the US government needs more “digital dollarization” to replace legacy systems like paper checks. “It’s something we’re very committed to and trying to take forward,” he said. (Read more of his interview here.)
The money can’t come soon enough for many Americans. PYMNTS recently surveyed over 8,000 consumers and found that on average they expect the coronavirus crisis last until october.
Stimulus checks are part of the trillions of dollars the federal government is spending to prevent the economy from collapsing as millions are laid off due to the COVID-19 pandemic.
In addition to continuing to send $1,200 stimulus payments to individual taxpayers, the US government has also restarted its popular Payment Protection Program (PPP) Monday for small and medium-sized businesses after the initial effort ran out of money. The PPP, which is administered by the Small Business Administration, gives businesses loan forgiveness if they agree to continue paying employees and avoid layoffs for a period of time.
However, the program came under fire to lend to large corporations, although PPP was originally intended more for family operations and small businesses. But despite these lingering questions, experts say PPP is essential to keep small businesses afloat in the midst of economic chaos.