Biden Planning to Ban Medical Debt From Credit Reports

( – The Kaiser Family Foundation’s (KFF’s) latest analysis of government data revealed that Americans have at least $220 billion in medical debt. Roughly three million people owe more than $10,000, and about 14 million have over $1,000 in unpaid medical bills. The Biden administration recently announced President Joe Biden’s plan to ban outstanding healthcare balances from credit reports, a move many consider an effort to buy votes.

On June 11, Vice President Kamala Harris held a teleconference to announce the president’s plan. “More than 100 million Americans struggle with medical debt,” she began — a figure roughly five times that reported by the KFF based on its careful analysis of government records.

Continuing, Harris said, “One of the most significant consequences” of unpaid medical bills is the damage incurred to an individual’s credit scores. The vice president explained that an adverse credit rating decreases the chances of obtaining small business loans and other lending services for purchasing a home or car.

“That simply is not fair,” Harris proclaimed. She claimed people burdened with medical debt aren’t less likely to repay a loan than those current on their healthcare costs.

Harris said the administration would implement its policy restricting the inclusion of medical debt on credit reports “soon,” without specifying an actual timeline. She also alleged that the move would result in millions of Americans seeing an average boost to their credit score of 20 points, “meaning an estimated 22,000” American families will be able to obtain a mortgage and purchase a home.

However, taking that claim with a hefty dose of skepticism might be a good idea since Harris already skewed the number of people impacted by outstanding healthcare bills. Overall, the KFF determined that medical debt impacts 20 million people, almost one in 12 adults.

At first glance, that figure may seem low. However, fewer people will likely decide the outcome of the November presidential election. If Biden’s apparent scheme works, it could cut into an already anticipated voting margin between him and Trump.

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