> Unpaid medical bills will no longer appear on credit reports, where they can block people from getting mortgages, car loans or small business loans, according to a final rule announced Tuesday by the Biden administration.
>
> The Consumer Financial Protection Bureau rule will remove $49 billion in medical debt from the credit reports of more than 15 million Americans, according to the bureau, which means lenders will no longer be able to take that into consideration when deciding whether to issue a loan.
>
> The change is estimated to raise the credit scores by an average of 20 points and could lead to 22,000 additional mortgages being approved every year, according to the bureau.
Also:
> The CFPB said medical debt is a poor predictor of an individual’s ability to repay a loan. Experian, Equifax and TransUnion, the three national credit reporting agencies, said last year that they were removing medical collections debt under $500 from U.S. consumer credit reports.
So this appears to be an expansion of the prior policy by raising the limit.
WantDebianThanks on
I really wish the Democrats would do things that will make people happy at the *start* of their terms in office, not the *end* of their terms.
Approximation_Doctor on
This sounds like something progressives would like, can someone tell me why it’s Bad Actually
katt_vantar on
Wow so now you can just get cancer anytime you want and buy a house?!?!?!?????!!!112
6 Comments
https://www.whitehouse.gov/briefing-room/statements-releases/2025/01/07/fact-sheet-vice-president-harris-announces-final-rule-removing-medical-debt-from-all-credit-reports/
https://edition.cnn.com/2025/01/07/business/medical-debt-credit-reports-ban-biden/index.html
based based based
> Unpaid medical bills will no longer appear on credit reports, where they can block people from getting mortgages, car loans or small business loans, according to a final rule announced Tuesday by the Biden administration.
>
> The Consumer Financial Protection Bureau rule will remove $49 billion in medical debt from the credit reports of more than 15 million Americans, according to the bureau, which means lenders will no longer be able to take that into consideration when deciding whether to issue a loan.
>
> The change is estimated to raise the credit scores by an average of 20 points and could lead to 22,000 additional mortgages being approved every year, according to the bureau.
Also:
> The CFPB said medical debt is a poor predictor of an individual’s ability to repay a loan. Experian, Equifax and TransUnion, the three national credit reporting agencies, said last year that they were removing medical collections debt under $500 from U.S. consumer credit reports.
So this appears to be an expansion of the prior policy by raising the limit.
I really wish the Democrats would do things that will make people happy at the *start* of their terms in office, not the *end* of their terms.
This sounds like something progressives would like, can someone tell me why it’s Bad Actually
Wow so now you can just get cancer anytime you want and buy a house?!?!?!?????!!!112