Medical Debt Relief Approved for Hundreds of Thousands of Americans

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About 150,000 California residents are set to see their medical debts tackled by a newly approved program.

A California county has approved a plan to forgive outstanding medical debts worth millions of dollars.Los Angeles County officials voted unanimously to buy $5 million in medical debts, which could eliminate outstanding health care bills for 150,000 residents. The debts are being bought by a pilot program called Undue Medical Debt, a nationwide organization that relieves patients by purchasing their medical debt for pennies on the dollar before canceling it.

'Read more: How Do Debt Consolidation Programs Work?'Medical debt is largely out of people's control, but it is devastating families across L.A. County, especially for people living on the brink of poverty,' Hahn said prior to the vote, KFF Health News reported. 'Luckily for us, this is low-hanging fruit. I think we have a moral obligation to seize this opportunity.'It is currently unclear how the program will be administered.

 

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