Medical bills placed on credit reports can result in reduced access to credit, increased risk of bankruptcy, avoidance of medical care and difficulty securing employment.

Not only are mistakes common in the U.S. medical billing system, but it is difficult for consumers to correct or resolve those errors.

“When it comes to medical bills, Americans are often caught in a doom loop between their medical provider and insurance company,” said Rohit Chopra, director of the Consumer Financial Protection Bureau. “Our credit reporting system is too often used as a tool to coerce and extort patients into paying medical bills they may not even owe.”

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