Obama Threatens to Withhold Social Security Checks from Seniors and Vets

President Barack Obama raised the stakes in the third straight day of budget talks on Tuesday by warning that senior citizens and veterans may suffer first if the debt ceiling is not raised by August 2.

The president said in an interview with U.S. television network CBS that checks to recipients of the Social Security retirement program may not go out in early August if he and congressional leaders do not agree on a debt deal.

"I cannot guarantee that those checks go out on August 3rd if we haven't resolved this issue," Obama said. "Because there may simply not be the money in the coffers to do it," Obama said. He said veterans checks and disability benefits could also be affected without a deal.