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Reviewed by Emily Henderson, B.Sc. May 4 2023

The Biden administration on Thursday cautioned Americans about the growing risks of medical credit cards and other loans for medical bills, warning in a new report that high interest rates can deepen patients' debts and threaten their financial security.

In its report, the Consumer Financial Protection Bureau estimated that people in the U.S. paid $1 billion in deferred interest on medical credit cards and other medical financing in just three years, from 2018 to 2020.

The interest payments can inflate medical bills by almost 25%, the agency found by analyzing financial data that lenders submitted to regulators.

"Lending outfits are designing costly loan products to peddle to patients looking to make ends meet on their medical bills," said Rohit Chopra, director of CFPB, the federal consumer watchdog. "These new forms of medical debt can create financial ruin for individuals who get sick."

Nationwide, about 100 million people — including 41% of adults — have some kind of health care debt, KFF Health News found in an investigation conducted with NPR to explore the scale and impact of the nation's medical debt crisis.

The vast scope of the problem is feeding a multibillion-dollar patient financing business, with private equity and big banks looking to cash in when patients and their families can't pay for care, KFF Health News and NPR found. In the patient financing industry, profit margins top 29%, according to research firm IBISWorld, or seven times what is considered a solid hospital profit margin.

Millions of patients sign up for credit cards, such as CareCredit offered by Synchrony Bank. These cards are often marketed in the waiting rooms of physicians' and dentists' offices to help people with their bills.

The cards typically offer a promotional period during which patients pay no interest, but if patients miss a payment or can't pay off the loan during the promotional period, they can face interest rates that reach as high as 27%, according to the CFPB.

Patients are also increasingly being routed by hospitals and other providers into loans administered by financing companies such as AccessOne. These loans, which often replace no-interest installment plans that hospitals once commonly offered, can add hundreds or thousands of dollars in interest to the debts patients owe.

A KFF Health News analysis of public records from UNC Health, North Carolina's public university medical system, found that after AccessOne began administering payment plans for the system's patients, the share paying interest on their bills jumped from 9% to 46%. Related StoriesUniversity Hospital Bonn coordinates eWHORM project to combat worm infections in sub-Saharan AfricaMGI and South Australian Genomics Centre Introduce DNBSEQ-T7 to Supercharge Genomics Research in AustraliaPediatric hepatology experts join Hassenfeld Children's Hospital to deliver family-centered care to children with liver disease

Hospital and finance industry officials insist they take care to educate patients about the risks of taking out loans with interest rates.

But federal regulators have found that many patients remain confused about the terms of the loans. In 2013, the CFPB ordered CareCredit to create a $34.1 million reimbursement fund for consumers the agency said had been victims of "deceptive credit card enrollment tactics."

The new CFPB report does not recommend new sanctions against lenders. Regulators cautioned, however, that the system still traps many patients in damaging financing arrangements. "Patients appear not to fully understand the terms of the products and sometimes end up with credit they are unable to afford," the agency said.

The risks are particularly high for lower-income borrowers and those with poor credit.

Regulators found, for example, that about a quarter of people with a low credit score who signed up for a deferred-interest medical loan were unable to pay it off before interest rates jumped. By contrast, just 10% of borrowers with excellent credit failed to avoid the high interest rates.

The CFPB warned that the growth of patient financing products poses yet another risk to low-income patients, saying they should be offered financial assistance with large medical bills but instead are being routed into credit cards or loans that pile interest on top of medical bills they can't afford.

"Consumer complaints to the CFPB suggest that, rather than benefiting consumers, as claimed by the companies offering these products, these products in fact may cause confusion and hardship," the report concluded. "Many people would be better off without these products."

This article was reprinted from khn.org with permission from the Henry J. Kaiser Family Foundation. Kaiser Health News, an editorially independent news service, is a program of the Kaiser Family Foundation, a nonpartisan health care policy research organization unaffiliated with Kaiser Permanente.

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Cubs blow lead in 10-run 8th, storm back in thriller

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Cubs blow lead in 10-run 8th, storm back in thriller

CHICAGO — Kyle Tucker had the fans on their feet, roaring and pumping their fists as he rounded the bases after hitting the go-ahead two-run homer in the eighth inning. His screaming line drive cleared the right-field wall with plenty of room to spare.

The Chicago Cubs went from giving up 10 runs in the eighth to scoring six in the bottom half and beating the Arizona Diamondbacks 13-11 on Friday in one of the wildest games on record.

The two teams combined for 21 runs in the seventh and eighth innings, with the Cubs scoring 11 runs and the D-backs plating 10. It was the first nine-inning game in MLB history in which both teams scored 10 or more runs from the seventh inning on, and the third game overall, according to ESPN Research.

“That’s kind of baseball,” Tucker said. “There’s a lot of ups and downs in this game, especially with how many games we play.”

There haven’t been many games like this, though.

The Cubs are just the seventh team in at least the past 125 seasons to allow 10 or more runs in an inning and win. They are also the fifth team to give up 10 or more runs and score six or more in the same inning.

The 16 combined runs in the eighth were the most in an inning at Wrigley Field, according to the Elias Sports Bureau.

“If you’ve seen that one, you’ve been around for a while,” Cubs manager Craig Counsell said with a laugh. “It was crazy. You know, we gave up 10 runs in an inning and we won. So it was a wild game, but we kept going, and, you know, there’s 27 outs in a game and this kind of proves it, and you’re just happy to get out with a win.”

On a warm day with the ball carrying, Carson Kelly homered twice. Ian Happ belted a grand slam and Seiya Suzuki went deep, helping the Cubs open a weekend series on a winning note.

“You’ve seen it early — having some tough losses, coming back winning the next day,” Happ said. “Losing the first game of the series, winning the series. Little things like that. Today’s a great example of professional hitters going out there and continuing to have really good at-bats.”

The way things transpired in the final two innings was something to see.

Kelly hit a two-run homer in the second against Corbin Burnes, and Happ came through with his grand slam against Ryne Nelson as part of a five-run seventh. But just when it looked as if the Cubs were in control with a 7-1 lead, things took a wild turn in the eighth.

Eugenio Suarez cut it to 7-5 with a grand slam against Porter Hodge, Geraldo Perdomo singled in a run and Randal Grichuk put Arizona on top by one with a two-run double. Lourdes Gurriel Jr. hit a three-run homer, making it 11-7.

The crowd of more than 39,000 let the Cubs hear it, but their team regrouped in the bottom half. Bryce Jarvis hit Nico Hoerner leading off and walked Pete Crow-Armstrong before Kelly drove a three-run homer to center. Tucker, the Cubs’ prized offseason addition, came through after Happ singled with one out. Suzuki followed with his drive against Joe Mantiply to give the Cubs a 13-11 lead.

Arizona, which had won five straight, became just the third team over the past 50 seasons to lose a game in which it had a 10-run inning at any point, according to ESPN Research.

“You just got to stay locked in,” Kelly said. “Obviously, you don’t want to … give up 10 in an inning. Obviously, you don’t want to do that. I think the biggest thing is coming back, regrouping and continuing to fight.”

The Associated Press contributed to this report.

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Chisholm suspended 1 game for conduct, tweet

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Chisholm suspended 1 game for conduct, tweet

Major League Baseball suspended New York Yankees infielder Jazz Chisholm Jr. for one game and fined him an undisclosed amount, the result of his actions during Thursday night’s win against the Tampa Bay Rays.

Chisholm was ejected in the seventh inning by plate umpire John Bacon for arguing after a called third strike on a full-count pitch from Mason Montgomery that appeared low.

Minutes later, he posted on his X account, “Not even f—ing close!!!!!” then deleted the post.

“I didn’t think before I had anything that I said was ejectable but after probably,” Chisholm said after the game. “I’m a competitor, so when I go out there and I feel like I’m right and you’re saying something to me that I think doesn’t make sense, I’m going to get fired up and be upset.

“I lost my emotions. I lost my cool. I got to be better than that. … I’m definitely mad at myself for losing my cool.”

Michael Hill, the league’s senior vice president for on-field operations, said Friday’s discipline was for Chisholm’s “conduct, including his violation of Major League Baseball’s Social Media Policy for Major League Players.”

MLB regulations ban the use of electronic devices during games. The social media policy prohibits “displaying or transmitting content that questions the impartiality of or otherwise denigrates a major league umpire.”

Chisholm did appeal the decision, allowing him to play in Friday night’s 1-0 win against the Rays. He started at second base and went 0 for 4 with two strikeouts.

Information from The Associated Press was used in this report.

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First-time father-to-be Ohtani away from Dodgers

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First-time father-to-be Ohtani away from Dodgers

ARLINGTON, Texas — Shohei Ohtani is away from the Los Angeles Dodgers for the birth of the two-way superstar’s first child.

Manager Dave Roberts said before the Dodgers’ series opener Friday night against the Rangers that Ohtani was with his wife and going on MLB’s paternity list.

“He and Mamiko are expecting at some point. That’s all I know,” Roberts said. “I don’t know when he’s going to come back and I don’t know when they’re going to have the baby, but obviously they’re together in anticipation.”

The 30-year-old Ohtani posted on his Instagram account in late December that he and his 28-year-old wife, a former professional basketball player from his native Japan, were expecting a baby in 2025.

“Can’t wait for the little rookie to join our family soon!” said the Dec. 28 post that included a photo showing the couple’s beloved dog, Decoy, as well as a pink ruffled onesie along with baby shoes and a sonogram that was covered by a baby emoji.

Ohtani can miss up to three games while on paternity leave. The Dodgers have a three-game series in Texas before an off day Monday, then play the Cubs in Chicago on Tuesday.

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