The CFPB recently published a report analyzing how certain actions announced earlier this year by the three largest national consumer reporting agencies—Equifax, Experian, and TransUnion—will affect people who have allegedly unpaid medical debt on their credit reports The new report is the CFPB’s third report issued this year on medical debt.
medical debt
CFPB issues report on consumer complaints involving medical debt; Biden Administration announces actions relating to medical debt
By Michael Gordon & John L. Culhane, Jr. on
Just a little more than a month after issuing a report taking aim at medical debt collections, the CFPB has issued a new report on “Medical billing and collection issues described in consumer complaints.”
The report analyzes debt collection and credit or consumer reporting complaints submitted to the Bureau in 2021 that…
CFPB Deputy Director Martinez invites discussion of payday payment plans and credit reporting of medical debts
By Doris Yuen on
CFPB Deputy Director Zixta Martinez recently provided the opening remarks at the CFPB’s Academic Research Council meeting. In her remarks, Martinez emphasized the CFPB’s role as a data-driven agency and welcomed further discussion of state payday extended payment plans and of the inclusion of medical debt in credit reports—two topics that have garnered renewed public…
Equifax, Experian, and TransUnion announce changes in medical debt reporting
By John L. Culhane, Jr. on
Posted in Credit Reports
Equifax, Experian, and TransUnion have announced that effective July 1, 2022, they will no longer include medical debt that was paid after it was sent to collections on consumer credit reports. In addition, the time period before unpaid medical collection debt appears on a credit report will be increased from 6 months to one year.…
CFPB issues report on medical debt
By John L. Culhane, Jr. on
A new CFPB report titled “Medical Debt Burden in the United States,” takes aim at medical debt collections, with the CFPB indicating that it intends to “[d]etermine whether policies should be implemented to eliminate unpaid medical billing data on credit reports altogether.”
The CFPB found that as of 2021, medical debt was the…
CFPB highlights changes in VA medical debt credit reporting practices as precedent for broader healthcare industry
By John L. Culhane, Jr. on
In a blog post, the CFPB reported that the Department of Veterans Affairs (VA) has announced a change to when it will report information on outstanding medical bills to consumer reporting companies.
Under the new VA rule, the VA will only report medical debt that meets all of the following standards:
- The VA has
…
Nevada and New Mexico State Medical Debt Collections Laws to Take Effect July 1, 2021
By Ballard CFS Group on
State legislatures in New Mexico and Nevada enacted laws this session targeting medical debt collections. Both laws have been signed by the states’ Governors and take effect July 1, 2021.
New Mexico Patients Debt Collection Practices Act
The New Mexico Patients Debt Collection Practices Act places a number of requirements on health care facilities and…
Medical debt collection remains in the crosshairs of the CFPB
By Alan S. Kaplinsky on
Posted in Debt Collection, Regulatory and Enforcement
The next meeting of the CFPB’s Consumer Advisory Board will take place on February 19 in Washington, DC. The focus of the meeting will be to “discuss trends and themes related to consumer and financial well-being and medical debt.” The meeting is open to the public and will be recorded. The CFPB on December 11…
CFPB issues report on how medical debt impacts credit scores
By John L. Culhane, Jr. on
Posted in Credit Reports, Regulatory and Enforcement
According to a report issued yesterday by the CFPB entitled “Data point: Medical debt and credit scores,” credit scoring models may be overly penalizing consumers with medical debts that go into collection by producing credit scores that underestimate such consumers’ creditworthiness.
To conduct its analysis, the CFPB used data in its Consumer Credit Panel (CCP). …