SOME PEOPLE GOT STIMULUS MONEY TODAY, CAN’T USE IT TILL MARCH 17TH

The third round of stimulus checks started hitting bank accounts for eligible Americans today but some say they can’t actually have the money yet.

“Following approval of the American Rescue Plan Act, the first batch of payments will be sent by direct deposit, which some recipients will start receiving as early as this weekend, and with more receiving this coming week,” the IRS said in a statement.

In fact, the payments have already arrived for some people just one day after President Joe Biden signed the legislation into law.

In the coming weeks, more batches of payments will be sent via direct deposit and through the mail as a check or debit card, according to the agency. Some people may see the direct deposit payments as “pending” or as provisional payments in their accounts before the official payment date of March 17, the IRS added.

As it turns out, your bank may have received the money electronically today, but there is a waiting period for the money to actually be free to use.  The IRS calls this the ‘effective date’. True, when you deposit a check there is a pending time for that check to clear.  Usually it’s overnight.  But if it is electronically sent to your bank the funds should be in your account instantly at the time the bank receives the electronic transaction. There’s no real answer to this from the IRS or the bank. Nevertheless, it isn’t that long until Wednesday for the money to be freed up.  Hang on.