Judge Removes Biden-Era Rule that Would Have Removed Medical Debt from Credit Reports

A federal judge in Texas removed a Biden-era finalized rule by the Consumer Financial Protection Bureau that would have removed medical debt from credit reports.

U.S. District Court Judge Sean Jordan of Texas’s Eastern District, who was appointed by President Donald Trump, found on Friday that the rule exceeded the CFPB ‘s authority. Jordan said that the CFPB is not permitted to remove medical debt from credit reports according to the Fair Credit Reporting Act, which protects information collected by consumer reporting agencies.

Removing medical debt from consumer credit reports was expected to increase the credit scores of millions of families by an average of 20 points, the bureau said.

Read more at AP News