On Sunday, Treasury Secretary Janet Yellen warned that Congress’s failure to raise the debt ceiling might lead to a “constitutional crisis” undermining the federal government’s creditworthiness.

Yellen warned that the federal government might run out of money to pay its debts if the debt ceiling is not lifted by early June.

Yellen told ABC’s “This Week” that discussions should not be conducted “with a gun to the head of the American people.”

Biden has requested Congress to increase the debt ceiling unconditionally. The Republican-led House of Representatives enacted a package last month to increase the government’s $31.4 trillion debt ceiling. Still, it included massive spending cutbacks over the next decade that Biden and Democrats oppose.

On Tuesday, Biden will debate the problem at the White House with Republican House Speaker Kevin McCarthy, Republican Senate Minority Leader Mitch McConnell, and top congressional Democrats.

This is Congress’s responsibility. “If they don’t do it, we’ll have a self-inflicted economic and financial catastrophe,” Yellen warned.

“And we should not get to the point where we need to consider whether the president can continue issuing debt.” “This would be a constitutional crisis,” Yellen said, referring to the U.S. Constitution’s separation of powers.

After the debt ceiling is raised, Biden will negotiate budget cutbacks. Congress regularly passes the budget and spending legislation alongside debt-ceiling raises.

Washington frequently caps federal borrowing. The current cap is 120% of the nation’s GDP. The debt approached that level in January, but the Treasury Department has maintained commitments below it. As a result, by July or August, Washington may have to cease borrowing.

Under such a scenario, investors may doubt the value of U.S. bonds, consider certain assets, and form the foundation of the global financial system.

The House-passed bill would cut expenditure to 2022 levels, restrict growth at 1%, abolish certain renewable energy tax credits, and tighten work requirements for several anti-poverty programs.

Last Monday, Democratic Senate Majority Leader Chuck Schumer cleared the way for a vote on a two-year debt ceiling suspension plan. However, Senate and House Republicans have stated they would not support such legislation.

On Saturday, 43 Senate Republicans opposed voting on a package that lifts the U.S. debt ceiling without addressing other concerns, signaling they may reject a Democratic approach.

The 100-seat Senate needs 60 votes to pass legislation. So Schumer would need at least nine Republicans to cross a 60-vote barrier to pass such legislation with a 51-49 Democratic majority in the Senate.

On NBC’s “Meet the Press,” top House Democrat Hakeem Jeffries said Biden has made clear there could be a debate with legislators on spending, investments, and taxes, but the proper course of action would be to lift the debt ceiling.

“We must make sure that America pays its bills to avoid a dangerous default on our debt that will blow up the United States economy,” Jeffries added.

Deputy Treasury Secretary Wally Adeyemo also stressed the risks of default.

Adeyemo told MSNBC’s “The Sunday Show” that the U.S. default is disastrous. “Defaulting on our debt would have a terrible impact on interest rates.”