Trump wants bigger stimulus checks, but the House said no. What now?

Doug Whiteman
Trump wants bigger stimulus checks, but the House said no. What now?
Trump wants bigger stimulus checks, but the House said no. What now?

Unhappy that your new "stimulus check" will be just $600, instead of $1,200 like last time?

So is President Donald Trump.

"It really is a disgrace," Trump says, in a video that was posted to Twitter Tuesday night.

"I am asking Congress to amend this bill and increase the ridiculously low $600 to $2,000, or $4,000 for a couple," he says.

Trump still hasn't signed the $900 billion COVID relief bill that includes the new direct payments — and involved months and months of difficult negotiations. It passed Congress Monday night; on Thursday, the U.S. House blocked a move to increase the size of the stimulus checks.

Treasury Secretary Steve Mnuchin has said the money could start flowing into Americans' bank accounts as early as next week. But what happens now?

$2,000 checks? Democrats are on board

WASHINGTON DC - APRIL 2, 2020: United States Treasury check with US currency. Illustrates coronavirus stimulus payment
Jason Raff / Shutterstock

The new aid package includes not only the fresh direct payments to help struggling U.S. households and stimulate the weak economy, but also money for struggling businesses and $300 a week in bonus unemployment benefits.

Democrats who control the U.S. House are cheering the president on. They had wanted larger stimulus checks during the drawn-out negotiations but got thwarted by Senate Republicans.

On Christmas Eve, House Democrats tried to approve $2,000 payments with a simple voice vote, but Republicans shot them down. Speaker Nancy Pelosi plans to hold a formal vote Monday on a stand-alone bill to bump up the amount from $600 to $2,000.

"To vote against this bill is to deny the financial hardship that families face and to deny them the relief they need," Pelosi said in a statement Thursday morning.

Americans have been eager for more government cash, especially as the pandemic spirals out of control and prompts new lockdowns and layoffs.

A survey from the U.S. Bureau of Labor Statistics found close to 60% of Americans used their first stimulus checks — which went out during the spring — to cover basic expenses including groceries and utility bills.

Some also invested the money, the survey said, or used it for various other things. Those may have included buying affordable life insurance— sales of life insurance policies have surged this year in the shadow of the pandemic.

Trump hasn't said if he plans to veto the new economic relief bill, but it passed with majorities big enough to beat any presidential veto. President-elect Joe Biden has promised to push for more relief after his Jan. 20 inauguration.

What if you agree that $600 is a 'disgrace'?

Serious couple with little girl counting budget at home
Iakov Filimonov / Shutterstock

If you're straining to make ends meet and need much more than $600 right now, here are a few ideas on how to pull together more money on your own.

  • Find easy ways to cut your spending. Drop any subscription services you're not using. Do more of your own cooking and stop ordering carryout so much. And download a free browser add-on that will save you money every time you shop online, by instantly checking for better prices.

  • Slash the cost of your debt. If you’ve been leaning on your credit cards during the coronavirus crisis, you’re probably piling on a lot of interest. Tame your credit card debt — and make it go away more quickly — by rolling your balances into a single debt consolidation loan at lower interest.

  • Stop paying so much for insurance. As Americans have cut back on their driving this year, many car insurance companies have lowered their rates. If your insurer won’t cut you a break, it’s time to shop around for a better option. You also might save hundreds by comparing rates to get a better deal on your home insurance.

  • Trade in your mortgage for a cheaper one. Mortgage rates are at record lows, and refinancing your existing loan could provide huge savings. Mortgage tech and data provider Black Knight says 19.4 million U.S. homeowners could cut their monthly house payments by an average $308 per month through a refi.

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