Americans' unpaid medical bills will remain on their credit reports after a federal judge last week annulled a Biden-era Consumer Financial Protection Bureau (CFPB) rule that would have removed such debt.
"It can be very nerve-wracking to think, oh my gosh, am I going to be able to do that?"
The Department of Education restarts collections of loans in default on Monday, putting millions of borrowers at risk of having their benefits and wages garnished.
A defaulted loan is a loan that a borrower hasn't made payments on for 270 days, according to the office of federal student aid. When the loan officially enters default, it becomes eligible for mandatory collections.
With the new lawsuits, consumers with medical debt will be stuck in the middle but experts say there are options.