A recent congressional standoff has seen millions of jobless Americans loose at least seven weeks worth of their unemployment benefits. On Thursday, President Barack Obama signed the restoration of those benefits back into law winning a 272-152 vote. This means that any American who has been out of work for six or more months are eligible for the payments, which average $300 a week.
Obama’s statement after the signing was, “Americans who are fighting to find a good job and support their families will finally get the support they need to get back on their feet during these tough economic times.”
With a current nation debt of more than $12.5 trillion, many Republicans voted against the reinstatement measure pointing out that it would add an additional $34 billion in debt. Instead, they felt the benefits should have been paid from cuts to other programs such as excess cash from the previous years economic stimulus bill, especially as the unemployment rate remains at a high 9 per cent.
Repubilican Charles Boustany notes, “The other side says that these unemployment benefits stretching to almost two years are needed and must be added to the $13 trillion debt, even as they claim their trillion-dollar stimulus plan has been a success at creating millions of jobs. It makes you wonder if they’re looking at the same jobs data as the rest of us.”
However, speaker Nancy Pelosi says, “Unemployment benefits protect those who have lost their jobs through no fault of their own but would lead to more jobs, higher wages and a stronger economy for all Americans. The money will be spent immediately on necessity, injecting demand into the economy, creating jobs.
There are approximately five million Americans who are still unable to find work after losing their jobs during the recession. This reinstatement of benefits could see at least 2.5 million people get an additional 73 weeks of federally financed income for those who have already used their 23 weeks of state insurance benefits and who were unexpectedly cut off on June 2 due to the standoff.
The money is to be paid as a retroactive lump sum directly into bank accounts or state-issued debit cards. In the meantime, many have felt the sting of yet another financial hit as they struggle to make ends meet and keep up with mortgage payments. With the housing rates at an all-time low, selling has proven difficult for most. If you are feeling a similar pinch and are in need of money, a private lender can help. When traditional banks are not an option, applying for a bad credit loan through a private lender may be the break you need.
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