California has deadliest day; debt collectors can't garnish stimulus money


A day after California logged its deadliest day from coronavirus, Gov. Gavin Newsom announced on Thursday that he signed an executive order that denies debt collectors from garnishing any CARES Act federal stimulus checks.

The order is retroactive, he said. But there is a caveat: If you owe spousal support or to a victim's account, this does not apply to you. 

He also said that 21 student loan servicing companies agreed to a 90-day forbearance on student loan debt.

He made these announcements as California hit its deadliest day on Wednesday when 115 people died of coronavirus. 

"It's a reminder," he said. "We are not out of the woods yet." 

He said that he was loathe to ease any restrictions now because he didn't want the death toll to go up any more.

However, Newsom spent some time highlighting his own small business experience as "an expression of passion for entrepreneurialism" in the hopes of sending the message that he's well aware of the need for businesses to re-open.

This story was reported from Oakland, Calif.