Medical Debt, Bankruptcy and Your Credit Score
Medical Debt, Bankruptcy and Your Credit Score
Medical debt is one of the leading causes of bankruptcy in the U.S. One 2009 Harvard study found that 62 percent of all personal bankruptcies were filed because of medical problems. Medical debt causes issues even for those who are insured: nearly 80 percent of filers had insurance at the beginning of their medical problems.
In the study, families bankrupt from medical debt reported almost $18,000 in out-of-pocket medical expenses, and uninsured families reported nearly $27,000.
Reporting Medical Debts
Unlike other ...