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Coronavirus

Second stimulus check: 20 July the key date to start working the second round of payments

President Donald Trump has said he wants to send millions of Americans a second round of stimulus checks to help them during the Covid-19 crisis.

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Second stimulus check: 20 July the key date to start working the second round of payments
Carlos BarriaREUTERS

Recently President Donald Trump said that a “very generous” second round of stimulus checks may be on the way pointing to the unemployment rate dropping to 11.1% as the economy added a record 4.8 million jobs in June. When asked how much money would be sent, Trump said “you’ll find out about it.”

Second payment consideration

According to Senate Majority Leader Mitch McConnell, they will consider a new stimulus package on 20 July when the Senate and the House of Representatives return to work from the 17-day recess for 4 July. McConnell also accused the Democrats of causing a “political theater.”

“This political theater is the opposite of the serious Senate approach that built the CARES Act. Any further recovery efforts should focus intently on three things: Kids, Jobs and healthcare. Partisan theater and politicized wish-lists are not what our country needs,” McConnell added.

In late March, President Trump signed a stimulus package into law that included one-time payments of up to $1,200 for eligible Americans. As the weeks have turned into months since the Coronavirus Aid, Relief, and Economic Security (CARES) Act was passed, many Americans are wondering if, and when, a second check or prepaid debit card will arrive as the pandemic continues.

Speaker of the House Nancy Pelosi (D-CA) on Capitol Hill in Washington, U.S.
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Speaker of the House Nancy Pelosi (D-CA) on Capitol Hill in Washington, U.S.LEAH MILLISREUTERS

Last month Trump said that his main focus was reopening the economy and as several states started a four-phase plan to send people back to work, there has been a major set back. As many states were approaching the fourth and final stage of fully reopening, there was a spike in new coronavirus cases which forced governors to close down many sectors, including restaurants and bars.

The slow recovery from the shutdown of nonessential businesses and the growing likelihood of a second wave of infection also makes a second stimulus package more likely. The Federal Reserve is forecasting that the unemployment rate will remain at 9.3% until the end of the year, which is close to what was seen during the Great Recession.