Money What is the debt ceiling? What happens if we default, and why you should care. May 15, 2023May 15, 2023 Anna Kaufman, USA TODAY Comments Off on What is the debt ceiling? What happens if we default, and why you should care. A contentious partisan conflict over raising the debt ceiling is playing out. The U.S. is set to run out of money to pay its bills as early as June 1.