- Republican Senator Pat Toomey blocked a bill aimed at preventing debt collectors from seizing stimulus checks.
- Democrats hoped to approve the measure to maximize the help that people would receive.
- But Toomey intervened, saying that debt collectors had the right to claim the money owed.
- See more stories on the Insider business page.
Republican Sen. Pat Toomey of Pennsylvania on Thursday blocked a bill that prohibited private debt collectors from seizing checks issued as part of the recent stimulus bill.
The law that Toomey opposes was proposed by the Democrats Sens. Ron Wyden and Sherrod Brown.
Such a move was included in the December aid package approved by President Donald Trump, which provided $ 600 in direct payments to most Americans.
It was not included in the stimulus bill approved by President Joe Biden, however, which provided for payments of $ 1,400.
Democrats still supported the proposal, but had to leave it out because of the rules of the Senate mechanism known as budgetary reconciliation, which was used to pass the most recent legislation.
This mechanism has allowed Democrats to pass the bill without a vote from the Republican Party, but it comes with limits on what is allowed. The same rules led to the withdrawal of proposals for a $ 15 federal minimum wage.
Democrats tried to introduce the rule into separate legislation, arguing that the money was intended to help struggling Americans, not debt collection agencies.
Wyden and Brown proposed the measure under a unanimous consent rule, which allows bills to pass quickly and bypass some lengthy Senate procedures.
Any senator can block such a proposal, however, which Toomey chose to do.
Toomey argued that Democrats were to blame for the fact that the rule was not in the recent bill, as they chose not to involve Republicans in its drafting.
He said that debt collectors have valid lawsuits against people who “owe money that they did not pay to someone else and that someone else went to court and was tried”.
The senator also said that, with 90 million indemnity payments already issued, it is too late to request the amendment.
The process of seizure of money from the check for damages by creditors is known as an attachment.
“These payments have already been eliminated,” said Toomey. “The attachment takes place automatically. It has already happened!”
Toomey’s objection means that many other relief checks are likely to be seized by debt collectors.
In comments to HuffPost, Brown said “we will keep trying” to get the measure passed. Senators can still try to approve it without unanimous consent, which would take longer and would also require some Republican support to escape the obstruction rules.
“Families are hanging by a thread, but Senate Republicans have blocked protections against their relief payments from being seized to pay credit card and medical debt. It is shameful,” Wyden said in a statement on Thursday.
It is unclear whether there is widespread support from the Republican Party in the Senate for Toomey’s objection to the measure. Republicans supported the move before, but may not support it in the future.