By Edward Henderson California Black Media
On June 11, Vice President Kamala Harris and Consumer Financial Protection Bureau Director (CFPB) Rohit Chopra announced that the Biden administration has established a new federal rule that removes medical debt from the credit reports of nearly 15 million Americans. The rule also bans reporting agencies from factoring that debt into credit scores.
“We are making it so that medical debt cannot be used against you when you apply for a car loan, a home loan, or a small-business loan,” said the Vice President.
“Millions of Americans will see an increase in their credit score, on average, of 20 points, which will mean every year an estimated 22,000 more American families will be approved for a mortgage and able to buy a home,” she added.
On June 26, the Los Angeles County Board of Supervisors approved a $5 million pilot program to eliminate up to $500 million in medical debt owed by …