Medical Debt Will No Longer Appear on Credit Reports

Credit reports will no longer have medical debt appear on them, where they can block people from receiving loans. That’s according to a final rule from the Biden administration. The rule will remove $49 billion worth of medical debt from the credit reports of 15 million Americans. The change is also expected to raise credit scores by an average of 20 points. The Consumer Financial Protection Bureau added that medical debt is a poor predictor of a person’s ability to repay a loan.