Consumer Advocates Applaud Passage of American Rescue Plan, Call for Protection from Debt Collectors

Andy Spears
3 min readMar 10, 2021

Advocates at the National Consumer Law Center praised Congress for passing the $1.9 trillion American Rescue Plan Act of 2021 to help struggling families. But they noted that more needs to be done to protect the new payments from being seized by debt collectors.

Under key elements of the American Rescue Plan (ARP):

  • individuals will receive up to $1,400 in economic income payments (EIP) and an additional $300 per week for unemployment benefits through Labor Day.
  • The package also includes an expanded Child Tax Credit of up to $3,600 per child paid in part through advance monthly payments,
  • $20 billion for rental assistance (which can also be used for utility arrearages and current bills),
  • $10 billion to help prevent foreclosures through the Homeowner’s Assistance Fund,
  • $7.6 billion for broadband for schools and libraries to help close the homework gap for students,
  • $4.5 billion for energy bills through the Low Income Home Energy Assistance Program (LIHEAP) and $500 million for emergency low-income water assistance.
  • The stimulus package also closes a longstanding loophole that encouraged predatory post-secondary schools to target servicemembers and veterans for their military education benefits, and eliminates taxes for cancelled student debt from December 31, 2020…

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Andy Spears
Andy Spears

Written by Andy Spears

Writer and policy advocate living in Nashville, TN —Public Policy Ph.D. — writes on education policy, consumer affairs, and more . . .

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