Consumer Financial Protection Bureau removing medical debt from credit reports

SOURCE www.npr.org
The Consumer Financial Protection Bureau is removing medical debt from credit reports, sparking a conversation with economist Benedic Ippolito from the American Enterprise Institute on NPR's Steve Inskeep show.

Key Points

  • Medical debt removal can provide relief to individuals struggling with healthcare costs
  • Economist Benedic Ippolito from American Enterprise Institute provides insights on the move

Pros

  • Helps individuals with medical debt have a fairer credit report
  • Reduces the negative impact of medical debt on credit scores

Cons

  • May lead to increased risk for lenders if they are not fully informed about borrowers' financial situations