The Consumer Financial Protection Bureau has announced significant changes to how medical debt affects consumers' financial health. Medical bills will no longer appear on credit reports or factor into lending decisions, eliminating $49 billion in medical debt from the credit records of 15 million Americans. This policy aims to prevent consumers from facing financial setbacks due to medical billing complexities and inaccuracies. Previously, medical debt often hindered access to mortgages and credit despite consumers having otherwise strong credit histories. Affected consumers can expect an average 20-point credit score increase, enabling 22,000 additional Americans to secure affordable mortgages annually.
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00:00It's Benzinga, bringing Wall Street to Main Street.
00:02The Consumer Financial Protection Bureau has announced significant changes to how medical
00:06debt affects consumers' financial health. Medical bills will no longer appear on credit reports or
00:11factor into lending decisions, a move that eliminates $49 billion in medical debt from
00:15the credit records of 15 million Americans. This policy aims to prevent consumers from facing
00:20financial setbacks due to medical billing complexities and inaccuracies. Previously,
00:25medical debt often hindered access to mortgages and credit despite consumers having otherwise
00:30strong credit histories. Affecting consumers can expect an average 20-point credit score increase,
00:35enabling 22,000 additional Americans to secure affordable mortgages annually.
00:40For all things money, visit Benzinga.com slash GSTV.