Using Stimulus Checks As An Opportunity To Pay Down Debt
The sudden economic downturn that came last year meant that millions lost their jobs and couldn't pay rent, they still are months behind in unpaid rent. From small business loans to individual stimulus checks, people have looked to the government to bail them out of this situation and offer help.
Some individuals have used the opportunity to take that stimulus money given to them by the government and used it pay down their debt along the way. Surveys have found that paying off debt and saving money is a higher priority now for many, people want to be in a better situation financially if any unexpected event like this ever comes around again.
For those between 25 to 39 years old, about 54 percent used the stimulus money they received to pay down their debt. For others who got funds they have also used it to put away money into tax free savings accounts and other investment or savings account options, to try and turn that money into even more down the road.
For those between 40 to 54 years old they too were found to have put away a great deal of the stimulus funds, at least 57 percent or more.
Millions of people also moved back home to live with their parents so they will have more opportunity to put money away to saving or debt repayment if their financial situation turns around and they were to get a job if they had been laid off for example.
Now, another stimulus check is being proposed, expected to be at least $1,400, with lawmakers referring to the possibility of it becoming a targeted stimulus check. They want to make sure that the money is going to those individuals and families out there who need it most.
Along the way as they've given out stimulus funds to companies and individuals, they've had a great deal of misleading claims filed and just in one state alone this has meant hundreds of millions of dollars in fraud for them. As for right now it isn't clear when the next targeted stimulus check might be coming down the line. It could still be weeks away if more funds are coming.
In the summer last year they gave out over 150 million payments around the country and altogether that was about $269 billion.