Last week, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) that will distribute $1,200 to each adult within a certain income bracket and $500 for every child. It is expected that the Treasury Department will begin depositing the money into Americans’ bank accounts within a few weeks of the bill’s passing. However, the most vulnerable Americans that do not have bank accounts on file with the IRS are expected to be sent checks directly to them, which could take even longer for them to receive, and they are likely to have difficulty cashing the check when it does arrive. Several proposals to address these issues that did not make it into the CARES Act have been introduced as standalone proposals:

  • The Banking for All Act would allow Americans to set up a free bank account where the Coronavirus relief payments would be deposited. This bank account would be available at local banks and would offer no account fees or minimum balance requirements.
  • The Automatic BOOST to Communities Act would provide every American with a U.S. debit card that is pre-loaded with $2,000. This debit card would be recharged once a month with $1,000 until one year after the end of the Coronavirus pandemic.