#USA #Fort Lauderdale #Debt.com #Medical Debt #CFPB

Survey Results Highlight Concerns About Medical Debt

A recent national survey by Debt.com reveals a striking sentiment among Americans dealing with medical debt. According to the survey, a staggering 91% of respondents believe that medical debt should not be included in credit reports. This sentiment comes just months after the Consumer Financial Protection Bureau (CFPB) approved a rule aimed at excluding medical debt from credit scores. However, recent political attacks on the CFPB threaten these new protections, raising concerns among consumers who feel affected by such debts.

The survey included 682 American adults and highlighted that a large majority support the CFPB's move to eliminate medical debts from credit scoring. In fact, more than half of the participants reported that medical bills have negatively impacted their credit history, with many noting that their scores dropped by over 100 points due to these debts.

According to Howard Dvorkin, CPA and the president of Debt.com, penalizing individuals for falling ill is unjust. He emphasizes that emergencies are unpredictable and should not dictate one's broader financial future. As the survey indicates, medical debt severely affects many Americans:

• - Currently, 51% of participants carry some form of medical debt.
• - 59% have stated that their debts compelled them to postpone or avoid necessary medical care.
• - 20% owe $10,000 or more, while 9% carry debts exceeding $50,000.

Among those whose credit has been impacted, 30% report a decline in their credit score ranging from 50 to 100 points, whereas 14% experienced drops of over 100 points. This decline is not merely a numerical issue—it carries real-life repercussions. Many individuals find themselves torn between their health needs and financial obligations.

Don Silvesti, president of Debt.com, states, "Medical debt not only affects credit scores but infiltrates daily life." This type of financial burden leads to a depletion of savings and can hinder essential goals such as home ownership, education, and family planning.

Financial strain from medical debt has compelled survey respondents into severe financial decisions:

• - 36% have accessed their emergency savings.
• - 26% borrowed from retirement funds.
• - 26% placed medical bills on their credit cards.
• - 17% faced challenges meeting basic expenses like rent or utilities.

As inflation continues to rise, 86% of participants report increasing difficulty in managing medical bills. The impacts extend beyond financial strain; 57% believe that their present debts are obstructing significant life milestones such as pursuing higher education or starting a family. Millennials, in particular, feel the pinch, with 62% stating that their medical debt stymies their progression towards life goals.

The findings of this survey strongly illustrate that Americans oppose the idea of rolling back the CFPB's protections for medical debt, advocating instead for solutions that reflect their financial realities rather than punitive measures for unanticipated health crises.

About Debt.com

Founded to assist individuals in navigating financial challenges, Debt.com is a primary resource for education on personal finance and debt solutions. Partnering with certified credit advisors and financial professionals, the platform aims to empower people facing issues like credit, student loans, and budgeting.

For more information about the survey or Debt.com, visit their website or contact them directly.