Federal Judge Blocks Biden Rule to Remove Medical Debt from Credit Reports Forever
A federal judge has struck down a Biden-era rule aimed at removing unpaid medical debt from credit reports, leaving millions of Americans with outstanding medical bills still reflected on their credit scores.
A federal judge has rejected a Biden-era rule that aimed to remove unpaid medical debt from credit reports, preserving the practice of including medical bills in credit scores, despite concerns it disproportionately harms vulnerable populations. The CFPB rule, which was vacated by the court, would have automatically removed medical debt older than seven years and 250 days from consumer credit reports. The decision is a setback for regulators seeking to address high rates of medical debt in the US. The ruling may impact millions of Americans who struggle with crippling medical expenses.
