Policy & Practice

Medical Debt Increasing

Families are turning to credit cards to pay for medical care as health care costs continue to rise faster than incomes, according to new research by public policy advocacy groups Demos and the Access Project. The groups found that 29% of low- and middle-income households with credit card debt reported that medical expenses contributed to their current balances, and within that group, 69% had a major medical expense in the previous 3 years. Low- and middle-income households with unpaid medical bills had, on average, 46% higher levels of credit card debt than did households without medical debt. In addition, the medically indebted were almost twice as likely to be called by bill collectors.