1. “Also, many people who have unpaid medical bills are often unaware that they owe this money. They often assume that the costs were covered by their insurance, but this is a whole other issue.” Yikes! That makes me nervous… It’s great news that medical bills will be having less of an impact on credit scores- thanks for sharing! I hadn’t read about this yet.

  2. It’s nice that the overall effect of the change will be to increase credit scores, but is it just me, or shouldn’t we just pay off all of our debt, including medical debt? I understand that you may incur more medical expenses than anticipated, but if you have insurance then the expenses you incur won’t be that much – and everyone knows that medical debt is easy to go on a payment plan (in which case it shouldn’t get reported to the credit agencies). And for people who don’t know what debt they have, it sounds like it’s time to take financial inventory!

    • Medical debt is still going to be considered on your credit report, but is going to be treated a bit different than other debt. Similar to the way they treat mortgage debt when calculating your debt to credit ratio. If they calculated your mortgage the same way they do credit cards then people who have houses would have a terrible credit score.

    • Natalie,
      I totally agree with what you are saying – put the medical debt on a payment plan and slowly pay it off if that’s the best you can do. But you’d be surprised about how many people don’t know that a payment plan is an option. Or sometimes people feel overwhelmed by the amount of medical debt and put off making phone calls to hospitals/insurance companies, especially if their illness is making them feel hopeless.

  3. Thanks for sharing this, Aldo. I hadn’t heard this information yet! I don’t have any unpaid medical bills (to my knowledge), so I don’t know that this change will affect me. Either way, it’s good to be aware of the change.

  4. Hey Aldo,

    I think I recently read about these changes as well and I do believe it is a good thing that medical debt won’t be weighed for heavily. I am kind of torn as to if we should be on a single payer to be honest. I don’t know any other developed countries where an unexpected medical procedure / emergency can lead to bankruptcy… that said the only way costs can be tamed is by changing people’s habits and it seems that most people are pretty stubborn.

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