A second round of Economic Impact Payments will be sent to around 160 million eligible Americans starting next week due to the passage of the latest COVID relief bill.
The legislation provides $600 for eligible individuals, including dependents. Those who made below $75,000 on their 2019 tax returns will get the maximum benefit, with amounts pro-rated until the cut-off threshold of $87,000, if there are no dependents.
The government is likely to disburse the majority of the funds via ACH direct deposit or check if the IRS does not have accurate account data. It is also possible prepaid cards will be sent.
Credit unions should be prepared for increased ACH activity, as well as potential increased need for members to withdraw funds and/or cash paper checks.