Biden administration seeks to wipe consumer medical debt off most credit reports with proposed rule

The Biden administration is pushing to prevent medical debt from being considered in most decisions made over whether someone qualifies to rent an apartment, buy a car or take on a mortgage.

The Consumer Financial Protection Bureau said Tuesday it is planning a rule that would remove medical bills from credit reports and prevent lenders from making decisions based on medical information.

The proposed rule also would prevent lenders from repossessing medical devices like wheelchairs if people cannot repay a loan.