The Consumer Financial Protection Bureau (CFPB) recently issued a report entitled “Medical Debt Burden in the U.S.” which indicates that approximately 20% of American households have an estimated $88 billion in medical debt.  This medical debt appears on approximately 43 million credit reports and represents 58% of all consumer debt in collections agencies.

The CFPB’s study found that when medical debt is included in credit reports, consumers have reduced credit access and a higher risk of bankruptcy.  It can also negatively affect their ability to get a job and access future medical care.  This is especially acute in marginalized populations.

The CFPB is challenging the appropriateness of medical debt even being included in credit reports.  The CFPB charges that the current fee-for-service billing system is comprised of complicated insurance coverage rules; and subject to opaque pricing and common billing errors.  This action is both good news to healthcare consumers and bad news to medical providers stuck in the quagmire that is the fee-for-service billing system. 

Healthcarebigideas.com Empower Bundle describes many of the scenarios where large medical bills can arise and provides you with the resources to better understand your medical bills and resolve your outstanding medical debt. The CFPB is yet another resource for healthcare consumers to turn to for assistance when addressing their medical debt.