Americans are saving, rather than spending, their stimulus checks

Americans are saving much of their stimulus checks or using them to pay down debt rather than spending the money, according to a new survey from the New York Federal Reserve.

Most Americans who have received stimulus checks are putting them into their savings accounts, instead of spending them right away.

A survey by the Federal Reserve shows households intend to set aside 42 percent of their stimulus payments for a rainy day.

Some 34 percent are using the coronavirus stimulus money to pay down debt.

The Fed survey estimates only about a quarter of the checks are going towards spending.

The Internal Revenue Service sent out 130 million payments by the end of March, with more on the way.

About 25 million more payments are expected to have been delivered by the end of this week, including many for social security recipients.


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