Senate rushes to $480 billion debt limit top-up

The U.S. Senate on Thursday took a step to pass a $480 billion increase in Treasury Department borrowing authority, a move that would turn aside a catastrophic debt default later this month but setting the scene for another potential showdown in December.

That vote, expected Saturday, could come sooner if all 100 members of the Senate, which is evenly split between Democrats and Republicans, agree to speed up the process.

If the legislation clears the first hurdle to limit debate on the bill, as expected, the Senate would then vote on raising the debt ceiling to $28.9 trillion from the current $28.4 trillion.

Senate passage could come as late as Sunday or Monday if any senator insists that all available debate time be used. But Schumer expressed hope for faster action.

Democrats had been trying to pass legislation that would have raised the debt limit through the end of 2022 but Republicans blocked that effort.