By WFAE // Charlotte Talks With Mike Collins
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This weekend, President Biden and House Speaker Kevin McCarthy reached an agreement in principle to lift the debt ceiling. Biden said on Sunday that the deal would avoid “the worst possible crisis: a default for the first time in our nation’s history, an economic recession, retirement accounts devastated, millions of jobs lost,” but the bill also includes new work requirements for some recipients of government aid, including food stamps.
The U.S. has never breached the debt ceiling before, but experts believe there would be major consequences for Americans if it is. Some examples include delayed Social Security payments, veterans who may not be able to access benefits, and federal employees who might not receive their paychecks, according to NPR. It could also downgrade the U.S. credit rating, making it more expensive for the federal government to borrow money and hiking up interest rates for Americans borrowing money buying cars and homes, noted NBC News.
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