President Biden on Thursday signed into law a sweeping coronavirus relief package that includes $1,400 stimulus checks for many Americans — but some individuals with unpaid debts could have that money seized this time around.

Debt collectors will be able to garnish the third round of cash payments that are expected to be delivered to Americans by the end of the month as part of Democrats' $1.9 trillion American Rescue Plan. But unlike the first two payments, which explicitly prevented creditors from snatching the money, the checks will not be exempt from garnishment.

SOME FAMILIES COULD RECEIVE UP TO $14,000 FROM BIDEN'S RELIEF BILL

That's because congressional Democrats passed the legislation using a process known as budget reconciliation, which allowed them to circumvent a filibuster by Senate Republicans. Consumer and banking groups, including the American Bankers Association, are urging lawmakers to pass a standalone bill and close the loophole that will allow creditors to take the money.

More in category

Kudlow: Stimulus payments to Americans are stimulating China's economy
April 19, 2021FOX Business
Kudlow: Stimulus payments to Americans are stimulating China's economy
Royal Caribbean CEO 'optimistic' cruises could resume by mid-summer
April 19, 2021FOX Business
Royal Caribbean CEO 'optimistic' cruises could resume by mid-summer
One of the largest Las Vegas casinos ever built will open on June 24
April 19, 2021MarketWatch
One of the largest Las Vegas casinos ever built will open on June 24
United lost more than $1.3 billion to start the year, and the stock is falling
April 19, 2021MarketWatch
United lost more than $1.3 billion to start the year, and the stock is falling
‘We’re still blazing the trail’: Joe Biden wants to create millions of infrastructure jobs — but will his plan help women rejoin the workforce?
April 18, 2021MarketWatch
‘We’re still blazing the trail’: Joe Biden wants to create millions of infrastructure jobs — but will his plan help women rejoin the workforce?
Opinion: What does a strong reaction to a COVID-19 vaccine mean?
April 19, 2021MarketWatch
Opinion: What does a strong reaction to a COVID-19 vaccine mean?
Earth Day contest winners create concrete that can trap carbon dioxide — next up is Musk’s $100 million prize
April 19, 2021MarketWatch
Earth Day contest winners create concrete that can trap carbon dioxide — next up is Musk’s $100 million prize
Plans for NFL-style European soccer ‘Super League’ create uproar
April 19, 2021MarketWatch
Plans for NFL-style European soccer ‘Super League’ create uproar
Lawsuits against Robinhood in the GameStop saga are getting their day in court — but there’s one big snag
April 18, 2021MarketWatch
Lawsuits against Robinhood in the GameStop saga are getting their day in court — but there’s one big snag
Top European soccer clubs threaten breakaway Super League
April 18, 2021MarketWatch
Top European soccer clubs threaten breakaway Super League
The pandemic may have permanently altered Apple’s path
April 16, 2021MarketWatch
The pandemic may have permanently altered Apple’s path
Opinion: Tech’s COVID-19 boom won’t last forever, but it’s not going to end just yet
April 16, 2021MarketWatch
Opinion: Tech’s COVID-19 boom won’t last forever, but it’s not going to end just yet
Biden WH weighing nicotine reduction in all cigarettes: report
April 19, 2021FOX Business
Biden WH weighing nicotine reduction in all cigarettes: report
Biden says he is 'prepared to compromise' on $2.25T spending plan
April 19, 2021FOX Business
Biden says he is 'prepared to compromise' on $2.25T spending plan
United reports fifth consecutive quarterly loss
April 19, 2021CNBC
United reports fifth consecutive quarterly loss
Biden prepping taxes on wealthy Americans as part of next spending bill
April 19, 2021FOX Business
Biden prepping taxes on wealthy Americans as part of next spending bill
IBM reports earnings on Monday — here’s what to expect
April 16, 2021MarketWatch
IBM reports earnings on Monday — here’s what to expect
MLB seeing record-high streaming viewership despite All-Star Game backlash
April 19, 2021CNBC
MLB seeing record-high streaming viewership despite All-Star Game backlash
NYC restaurant owner can't find reliable workers due to government handouts
April 19, 2021FOX Business
NYC restaurant owner can't find reliable workers due to government handouts
J&J vaccine manufacturing halted at US plant that had contamination issue
April 19, 2021FOX Business
J&J vaccine manufacturing halted at US plant that had contamination issue
Nvidia’s $40 billion takeover of Arm faces U.K. national security probe
April 19, 2021MarketWatch
Nvidia’s $40 billion takeover of Arm faces U.K. national security probe