The U.S. Congress has allowed banks to take away state aid from Americans

In addition to the bureaucratic problems faced by poor Americans in trying to get 1.2 thousand dollars in government support, the U.S. Congress has created another.

The U.S. Congress has allowed banks to take away state aid from Americans

Stephen Prince, an American entrepreneur, told about it in his publication for Newsweek.

As News Front previously reported, 10 million families who did not fill out tax returns due to low incomes were actually deprived of the opportunity to receive financial assistance from the state.

Prince noticed another problem: Congress did not exempt benefits from the collection of private debt. In practice, this means that the bank is fully entitled to receive part or even the entire amount to service any outstanding debt.

“While Congress has prohibited banks from using incentive checks to pay any debt to federal or state agencies, private debt is still valid. This means that if you have consumer debt, your bank can legally steal your government support money to pay off that debt”, –  the businessman explained.

At the same time he drew attention to the fact that the U.S. Treasury Department has the exclusive right to change the situation, but does not do so, although 25 state attorneys general have addressed Secretary Stephen Mnuchin with a request.

“This refusal means that banks across the country have been given the green light to take away people’s only economic aid in favor of creditors, leaving countless Americans in their hour of need”, –  stated Prince.


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