KANSAS CITY, MO — While some people have already received their stimulus payments, most people will not see the money hit their bank accounts until this morning. Some people will not get the money at all.
Debt collectors can issue a garnishment on the stimulus payments. While the government cannot garnish the payments due to things like back taxes and child support payments, private debt collectors can issue a garnishment for student loans, medical and credit card debt.
Last week, President Joe Biden signed a $1.9 trillion relief package. People who make $75,000 or less annually will receive up to $1,400. Couples who make $150,000 or less will receive up to $2,800. Additionally, people will receive $1,400 for each dependent child.
For those who owe money, to avoid garnishment, they can contact the debt collectors and set up a payment plan. When it comes to medical debts, people can typically pay a nominal amount of the debt owed each month. This will shield them from any legal actions, like garnishments.
People may also want to check their credit reports to ensure no bills are in collections. Many monitoring services, like Annual Credit Report, will provide people will a free report.
