The Biden administration has introduced a proposal to eliminate medical debt from credit reports. This 'groundbreaking' and creative idea aims to ease financial strain for millions, opening the door to new credit opportunities and potentially reducing the burden of high-interest rates. And it eliminates transparency on credibility of loan takers which is important to inflate future credit bubbles.

According to the Consumer Financial Protection Bureau (CFPB), around 15 million Americans currently shoulder approximately $49 billion in medical debt. Health policy researchers at KFF highlight that two out of every five Americans are affected, with most facing debts in the thousands. These debts, often sent to collections, adversely impact credit scores, making it challenging for individuals to secure car and home loans.

By removing medical debt from credit reports, this initiative could foster a more accessible and equitable credit system. Critics' concerns about moral hazard appear exaggerated in light of the potential benefits for economic stability and individual financial recovery. The most important thing, besides the fact that politicians are buying votes by corrupting the credit market: more fuel will be injected into the fiat money pump and people will take on more debt to enjoy life! Bidenomics at work...