Biden Plan to Ban Medical Debt From Credit Scores Moves Forward

By Noam N. Levey | KFF Health News | Word In Black (WIB) – Americans would no longer have to worry about medical debts dragging down their credit scores under federal regulations proposed Tuesday by the Consumer Financial Protection Bureau. If enacted, the rules would dramatically expand protections for tens of millions of Americans burdened by medical bills they can’t afford. RELATED:& Learning to Navigate and Manage& Medical Debt The regulations would also fulfill a pledge by the Biden administration to address the scourge of health care debt, a uniquely American problem that touches an& estimated 100 million people, forcing many to make sacrifices such as limiting food, clothing, and other essentials. “No one should be denied access to economic opportunity simply because they experienced a medical emergency,” Vice President Kamala Harris said Tuesday. The administration further called on states to expand efforts to restrict debt collection by hospitals and to make hospitals provide more charity care to low-income patients, a step that could prevent more Americans from ending up with medical debt. And Harris urged state and local governments to continue to buy up medical debt and retire it, a strategy that has become increasingly popular nationwide. Credit reporting,...