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New Biden administration rule would ban medical debt from credit reports

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11 months ago

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Originally published by The 19th

Vice President Kamala Harris on Tuesday announced a new effort to ban medical debt from credit reports, something that would ease a burden that falls most heavily on women and Black people.

“Medical debt makes it more difficult for millions of Americans to be approved for a car loan, a home loan or a small business loan, all of which in turn makes it more difficult to just get by, much less get ahead, and that is simply not fair. Especially when we know that people with medical debt are no less likely to repay a loan than those without medical debt,” Harris said. “No one should be denied access to economic opportunity simply because they experienced a medical emergency.”

Federal efforts to remove medical debt from credit reports began last fall after Harris announced that the Consumer Financial Protection Bureau (CFPB) would take the first steps to create rules that would take medical bills off credit reports, prohibit creditors from using medical bills to make underwriting decisions and ban collectors from using medical debt to pressure consumers to make payments. These proposals would narrow the 2005 exemption in the Fair Credit Reporting Act, which allowed creditors to use medical debts in underwriting credit decisions. Creditors would still have the ability to access medical debts and bill information in certain instances, such as to evaluate loan applications for medical services.

Other federal efforts to curb medical debt include the No Surprises Act, which took effect in July 2022 and requires private health insurers to cover most emergency services, emergency care and non-emergency in-network services and prohibits medical providers from billing patients more than in-network cost sharing.

The rule change could lead to more people being able to borrow money, as CFPB Director Rohit Chopra said it would give lenders more accurate and predictive information about borrowers.

“The 15 million Americans who would benefit from this credit reporting change would see their scores rise by an average of 20 points. … For mortgages alone, we estimate that this could lead to approximately 22,000 additional home loans each year,” he said. “Our action today is an important step toward reducing some of the unnecessary costs of getting sick in America.”

According to a senior administration official, this rule would include historical medical bill information and dental debt.

Other federal efforts to curb medical debt include the No Surprises Act, which took effect in July 2022 and prohibits surprise billing for most emergency services and non-emergency services done out-of-network.

The nationwide credit reporting agencies, which are Equifax, Experian and TransUnion, removed medical debt under $500 from consumer credit reports as of April 2023. However, this April, the CFPB released research that found 15 million Americans still have medical debt on their credit reports — particularly those in the American South and low-income communities. A March 2022 report from the CFPB found that Americans were harboring $88 billion in medical debt.

A KFF Health Policy Research analysis published this year based on the 2021 national Survey of Income and Program Participation found that 20 million people owed a collective $220 billion in medical debt. The analysis found that 13 percent of people with disabilities reported having medical debt, compared with 6 percent of those without a disability. It also found that non-Hispanic Black people carry more medical debt than other racial and ethnic groups, and women carry more than men. A separate analysis found that 14 percent of people who gave birth within the last year and a half reported having medical debt, compared with 7 percent of those who did not.

“Since we know that Black adults and women are more at risk of having medical debt, then I would expect this policy would benefit those groups,” said Cynthia Cox, KFF vice president and director of the foundation’s Program on the Affordable Care Act, which examines health care coverage costs, affordability and accessibility.

Undue Medical Debt, the nonprofit formerly known as RIP Medical Debt that contacts hospitals and health care systems requesting that they sell or donate portions of patients’ debt, and Perry Undem, a nonpartisan public opinion research firm, surveyed over 2,600 adults in August 2023, 229 of whom were Black women. Among Black women, 27 percent said they have delayed or said no to health services out of concerns over acquiring medical debt. A study from the American Cancer Society published in March suggested that “medical debt is associated with worse health status, more premature deaths, and higher mortality rates at the county level in the US.”

In 2022, YouGov, a research data and analytics technology group, reported that 66 percent of Americans supported government relief for medical debt. Eva Stahl, the vice president of public policy and program management at Undue Medical Debt, attributes this support to the fact that it can impact anyone.

“It’s not a debt of choice, it’s a debt of necessity. Because there’s a general consensus about that, it’s not really a partisan issue,” she said.

Stahl said they have gotten interest from legislators across the nation, even in the South, with some jurisdictions in Texas and Kentucky showing interest in erasing residents’ medical debt. Some state-level efforts to erase medical debt for state residents have either passed or been proposed — some in partnership with Undue Medical Burden.

In June 2023, Colorado became the first state to prohibit medical debt from being included on residents’ credit reports. Similar legislation was passed this year in Connecticut and proposed in New Jersey.

Last year, Connecticut’s state legislature approved a budget that would allocate $6.5 million in American Rescue Plan (ARP) funding toward erasing medical debt for residents whose medical debt is 5 percent of their income or whose household income is up to 400 percent of the federal poverty line. Earlier this year, Arizona Gov. Katie Hobbs, a Democrat, announced efforts to use $30 million of ARP funding to cancel medical debt for up to 1 million Arizonans, using similar criteria as Connecticut. Both states partnered with Undue Medical Debt

To Stahl, removing medical debt from credit reports has limitations.

“It’s an action that is helpful, but it’s not getting it’s not at the it’s not at the root,” which is “that people don’t have access to affordable high quality health care,” Stahl said. “Even if you banned medical debt from credit reports, which is an important and worthy exercise, people still have unpaid medical bills. … Patients will still feel the stress of having debt collectors call them several times a day, asking them when they’re going to pay their medical bills, or they may get into payment plans that they can’t really afford.”

A senior administration official said public comments are being accepted through August 12. They expect the rule to be finalized early next year.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Mississippi Today

1964: Mississippi Freedom Democratic Party was formed

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22 hours ago

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April 26, 2025

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mississippitoday.org – @MSTODAYnews – 2025-04-26 07:00:00

by Jerry Mitchell, Mississippi Today
April 26, 2025

April 26, 1964

Aaron Henry testifies before the Credentials Committee at the 1964 Democratic National Convention.

Civil rights activists started the Mississippi Freedom Democratic Party to challenge the state’s all-white regular delegation to the Democratic National Convention. 

The regulars had already adopted this resolution: “We oppose, condemn and deplore the Civil Rights Act of 1964 … We believe in separation of the races in all phases of our society. It is our belief that the separation of the races is necessary for the peace and tranquility of all the people of Mississippi, and the continuing good relationship which has existed over the years.” 

In reality, Black Mississippians had been victims of intimidation, harassment and violence for daring to try and vote as well as laws passed to disenfranchise them. As a result, by 1964, only 6% of Black Mississippians were permitted to vote. A year earlier, activists had run a mock election in which thousands of Black Mississippians showed they would vote if given an opportunity. 

In August 1964, the Freedom Party decided to challenge the all-white delegation, saying they had been illegally elected in a segregated process and had no intention of supporting President Lyndon B. Johnson in the November election. 

The prediction proved true, with white Mississippi Democrats overwhelmingly supporting Republican candidate Barry Goldwater, who opposed the Civil Rights Act. While the activists fell short of replacing the regulars, their courageous stand led to changes in both parties.

This article first appeared on Mississippi Today and is republished here under a Creative Commons Attribution-NoDerivatives 4.0 International License.

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Mississippi River flooding Vicksburg, expected to crest on Monday

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2 days ago

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April 25, 2025

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mississippitoday.org – @alxrzr – 2025-04-25 16:04:00

by Alex Rozier, Mississippi Today
April 25, 2025

Warren County Emergency Management Director John Elfer said Friday floodwaters from the Mississippi River, which have reached homes in and around Vicksburg, will likely persist until early May. Elfer estimated there areabout 15 to 20 roads underwater in the area.

A truck sits in high water after the owner parked, then boated to his residence on Chickasaw Road in Vicksburg as a rising Mississippi River causes backwater flooding, Friday, April 25, 2025.

“We’re about half a foot (on the river gauge) from a major flood,” he said. “But we don’t think it’s going to be like in 2011, so we can kind of manage this.”

The National Weather projects the river to crest at 49.5 feet on Monday, making it the highest peak at the Vicksburg gauge since 2020. Elfer said some residents in north Vicksburg — including at the Ford Subdivision as well as near Chickasaw Road and Hutson Street — are having to take boats to get home, adding that those who live on the unprotected side of the levee are generally prepared for flooding.

A rising Mississippi River causing backwater flooding near Chickasaw Road in Vicksburg, Friday, April 25, 2025.
Old tires aligned a backyard as a deterrent to rising water north of Vicksburg along U.S. 61, Friday, April 25, 2025.
As the Mississippi River rises, backwater flooding creeps towards a home located on Falk Steel Road in Vicksburg, Friday, April 25, 2025.

“There are a few (inundated homes), but we’ve mitigated a lot of them,” he said. “Some of the structures have been torn down or raised. There are a few people that still live on the wet side of the levee, but they kind of know what to expect. So we’re not too concerned with that.”

The river first reached flood stage in the city — 43 feet — on April 14. State officials closed Highway 465, which connects the Eagle Lake community just north of Vicksburg to Highway 61, last Friday.

Flood waters along Kings Point Road in Vicksburg, Friday, April 25, 2025.

Elfer said the areas impacted are mostly residential and he didn’t believe any businesses have been affected, emphasizing that downtown Vicksburg is still safe for visitors. He said Warren County has worked with the U.S. Army Corps of Engineers and the Mississippi Emergency Management Agency to secure pumps and barriers.

“Everybody thus far has been very cooperative,” he said. “We continue to tell people stay out of the flood areas, don’t drive around barricades and don’t drive around road close signs. Not only is it illegal, it’s dangerous.”

NWS projects the river to stay at flood stage in Vicksburg until May 6. The river reached its record crest of 57.1 feet in 2011.

The boat launch area is closed and shored up on Levee Street in Vicksburg as the Mississippi River rises, Friday, April 25, 2025.
The boat launch area (right) is closed and under water on Levee Street in Vicksburg as the Mississippi River rises, Friday, April 25, 2025.
City of Vicksburg workers shore up the bank along Levee Street as the Mississippi River rises, Friday, April 25, 2025.
The old pedestrian bridge spanning the Mississippi River in Vicksburg, Friday, April 25, 2025.

This article first appeared on Mississippi Today and is republished here under a Creative Commons Attribution-NoDerivatives 4.0 International License.

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Mississippi Today

With domestic violence law, victims ‘will be a number with a purpose,’ mother says

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2 days ago

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April 25, 2025

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mississippitoday.org – @MSTODAYnews – 2025-04-25 15:07:00

by Mina Corpuz, Mississippi Today
April 25, 2025

Joslin Napier. Carlos Collins. Bailey Mae Reed. 

They are among Mississippi domestic violence homicide victims whose family members carried their photos as the governor signed a bill that will establish a board to study such deaths and how to prevent them. 

Tara Gandy, who lost her daughter Napier in Waynesboro in 2022, said it’s a moment she plans to tell her 5-year-old grandson about when he is old enough. Napier’s presence, in spirit, at the bill signing can be another way for her grandson to feel proud of his mother. 

“(The board) will allow for my daughter and those who have already lost their lives to domestic violence … to no longer be just a number,” Gandy said. “They will be a number with a purpose.” 

Family members at the April 15 private bill signing included Ashla Hudson, whose son Collins, died last year in Jackson. Grandparents Mary and Charles Reed and brother Colby Kernell attended the event in honor of Bailey Mae Reed, who died in Oxford in 2023. 

Joining them were staff and board members from the Mississippi Coalition Against Domestic Violence, the statewide group that supports shelters and advocated for the passage of Senate Bill 2886 to form a Domestic Violence Facility Review Board. 

The law will go into effect July 1, and the coalition hopes to partner with elected officials who will make recommendations for members to serve on the board. The coalition wants to see appointees who have frontline experience with domestic violence survivors, said Luis Montgomery, public policy specialist for the coalition. 

A spokesperson from Gov. Tate Reeves’ office did not respond to a request for comment Friday.

Establishment of the board would make Mississippi the 45th state to review domestic violence fatalities. 

Montgomery has worked on passing a review board bill since December 2023. After an unsuccessful effort in 2024, the coalition worked to build support and educate people about the need for such a board. 

In the recent legislative session, there were House and Senate versions of the bill that unanimously passed their respective chambers. Authors of the bills are from both political parties. 

The review board is tasked with reviewing a variety of documents to learn about the lead up and circumstances in which people died in domestic violence-related fatalities, near fatalities and suicides – records that can include police records, court documents, medical records and more. 

From each review, trends will emerge and that information can be used for the board to make recommendations to lawmakers about how to prevent domestic violence deaths. 

“This is coming at a really great time because we can really get proactive,” Montgomery said. 

Without a board and data collection, advocates say it is difficult to know how many people have died or been injured in domestic-violence related incidents.

A Mississippi Today analysis found at least 300 people, including victims, abusers and collateral victims, died from domestic violence between 2020 and 2024. That analysis came from reviewing local news stories, the Gun Violence Archive, the National Gun Violence Memorial, law enforcement reports and court documents. 

Some recent cases the board could review are the deaths of Collins, Napier and Reed. 

In court records, prosecutors wrote that Napier, 24, faced increased violence after ending a relationship with Chance Fabian Jones. She took action, including purchasing a firearm and filing for a protective order against Jones.

Jones’s trial is set for May 12 in Wayne County. His indictment for capital murder came on the first anniversary of her death, according to court records. 

Collins, 25, worked as a nurse and was from Yazoo City. His ex-boyfriend Marcus Johnson has been indicted for capital murder and shooting into Collins’ apartment. Family members say Collins had filed several restraining orders against Johnson. 

Johnson was denied bond and remains in jail. His trial is scheduled for July 28 in Hinds County.  

He was a Jackson police officer for eight months in 2013. Johnson was separated from the department pending disciplinary action leading up to immediate termination, but he resigned before he was fired, Jackson police confirmed to local media. 

Reed, 21, was born and raised in Michigan and moved to Water Valley to live with her grandparents and help care for her cousin, according to her obituary. 

Kylan Jacques Phillips was charged with first degree murder for beating Reed, according to court records. In February, the court ordered him to undergo a mental evaluation to determine if he is competent to stand trial, according to court documents. 

At the bill signing, Gandy said it was bittersweet and an honor to meet the families of other domestic violence homicide victims.

“We were there knowing we are not alone, we can travel this road together and hopefully find ways to prevent and bring more awareness about domestic violence,” she said.

This article first appeared on Mississippi Today and is republished here under a Creative Commons Attribution-NoDerivatives 4.0 International License.

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