CFPB Cracks Down on Illegal Medical Debt Collection Practices

The U.S. watchdog warns collectors against pursuing inaccurate or invalid medical debts, emphasizing consumer protection.

The Consumer Financial Protection Bureau (CFPB) issued guidance to combat illegal medical debt collection tactics.
Approximately 100 million Americans owe $220 billion in medical debt, according to the CFPB.
Illegal practices include double billing, unsubstantiated charges, and misrepresenting consumers' rights to dispute debts.
Vice President Kamala Harris supports efforts to remove medical debt from consumer credit reports.
The CFPB's advisory opinion aims to protect consumers and holds debt collectors accountable under the Fair Debt Collection Practices Act.