One of the promises made by supporters of Obamacare was that the law would result in lower medical costs, but a new study finds medical debt is ruining the credit of millions of Americans.
According to a report released today by the Consumer Financial Protection Bureau (CFPB), an estimated 43 million consumers with a credit report at a nationwide consumer reporting agency have one or more medical accounts in collection.
In addition, 52 percent of all overdue debt accounts on credit reports are related to medical services and the study shows that if it were not for those medical debts, many consumers would be deemed creditworthy.
For 15 million people, medical debt is the only debt they have in collections in their credit report.
The report also found that many debts are smaller than other kinds of debt, but confusion may lead some individuals to delay payment or to them not knowing they even owe money.