,,ii #aafth ,,congress #b;d ,session ,s4 #chda ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #ba1 #bjbj,mr4 ,grassley 7for himself1 ,mr4 ,brown1 ,mr4 ,wyden1 and ,mr4 ,scott of ,south ,carolina7 introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to protect #bjbj recovery rebates for individuals from assignment or garnishment1 and for other purposes4 #a4 ,protection of #bjbj recovery rebates 7a7 ,in general ,subsection 7d7 of section #bbja of the ,,cares ,act 7,public ,law #aaf-acf7 is amended-- 7#a7 by redesignating paragraphs 7#a71 7#b71 and 7#c7 as subparagraphs 7,a71 7,b71 and 7,c71 and by moving such subparagraphs #b ems to the right1 7#b7 by striking reduction or offset4--,any credit and inserting 8reduction1 offset1 garnishment1 etc4-- 7#a7 ,in general ,any credit 1 and 7#c7 by adding at the end the following new paragraphs3 7#b7 ,assignment of benefits 7,a7 ,in general ,the right of any person to any applicable payment shall not be transferable or assignable1 at law or in equity1 and no applicable payment shall be subject to1 execution1 levy1 attachment1 garnishment1 or other legal process1 or the operation of any bankruptcy or insolvency law4 7,b7 ,encoding of payments ,as soon as practicable1 but not earlier than #aj days after the date of the enactment of this paragraph1 in the case of an applicable payment that is paid electronically by direct deposit through the ,automated ,clearing ,house 7,,ach7 network1 the ,secretary of the ,treasury 7or the ,secretary's delegate7 shall-- 7i7 issue the payment using a unique identifier that is reasonably sufficient to allow a financial institution to identify the payment as an applicable payment1 and 7ii7 further encode the payment pursuant to the same specifications as required for a benefit payment defined in section #bab4c of title #ca1 ,code of ,federal ,regulations4 7,c7 ,garnishment 7i7 ,encoded payments ,in the case of a garnishment order received after the date that is #aj days after the date of the enactment of this paragraph and that applies to an account that has received an applicable payment that is encoded as provided in subparagraph 7,b71 a financial institution shall follow the requirements and procedures set forth in part #bab of title #ca1 ,code of ,federal ,regulations1 except a financial institution shall not1 with regard to any applicable payment1 be required to provide the notice referenced in sections #bab4f and #bab4g of title #ca1 ,code of ,federal ,regulations4 ,this paragraph shall not alter the status of applicable payments as tax refunds or other nonbenefit payments for purpose of any reclamation rights of the ,department of ,treasury or the ,internal ,revenue ,service as per part #baj of title #ca of the ,code of ,federal ,regulations4 7ii7 ,other payments ,if a financial institution receives a garnishment order1 other than an order that has been served by the ,united ,states or an order that has been served by a ,federal1 ,state1 or local child support enforcement agency1 that has been received by a financial institution after the date that is #aj days after the date of the enactment of this paragraph and that applies to an account into which an applicable payment that has not been encoded as provided in subparagraph 7,b7 has been deposited electronically or by an applicable payment that has been deposited by check on any date in the lookback period1 the financial institution1 upon the request of the account holder1 shall treat the amount of the funds in the account at the time of the request1 up to the amount of the applicable payment 7in addition to any amounts otherwise protected under part #bab of title #ca1 ,code of ,federal ,regulations71 as exempt from a garnishment order without requiring the consent of the party serving the garnishment order or the judgment creditor4 7iii7 ,liability ,a financial institution that acts in good faith in reliance on clauses 7i7 or 7ii7 shall not be subject to liability or regulatory action under any ,federal or ,state law1 regulation1 court or other order1 or regulatory interpretation for actions concerning any applicable payments4 7,d7 ,definitions ,for purposes of this paragraph-- 7i7 ,account holder ,the term account holder means a natural person whose name appears in a financial institution's records as the direct or beneficial owner of an account4 7ii7 ,account review ,the term account review means the process of examining deposits in an account to determine if an applicable payment has been deposited into the account during the lookback period4 ,the financial institution shall perform the account review following the procedures outlined in section #bab4e of title #ca1 ,code of ,federal ,regulations and in accordance with the requirements of section #bab4f of title #ca1 ,code of ,federal ,regulations4 7iii7 ,applicable payment ,the term applicable payment means any payment of credit or refund by reason of section #fdbh of the ,internal ,revenue ,code of #aihf 7as so added7 or by reason of subsection 7c7 of this section4 7iv7 ,garnishment ,the term garnishment means execution1 levy1 attachment1 garnishment1 or other legal process4 7v7 ,garnishment order ,the term garnishment order means a writ1 order1 notice1 summons1 judgment1 levy1 or similar written instruction issued by a court1 a ,state or ,state agency1 a municipality or municipal corporation1 or a ,state child support enforcement agency1 including a lien arising by operation of law for overdue child support or an order to freeze the assets in an account1 to effect a garnishment against a debtor4 7vi7 ,lookback period ,the term lookback period means the two month period that begins on the date preceding the date of account review and ends on the corresponding date of the month two months earlier1 or on the last date of the month two months earlier if the corresponding date does not exist4 4 7b7 ,effective date ,the amendments made by this section shall take effect on the date of the enactment of this ,act4