Accounts receivable management industry addresses business impacts of CFPB medical debt credit reporting proposal.
September 21, 2023 – Washington, D.C. – ACA International (“ACA”) has responded to the Consumer Financial Protection Bureau (“CFPB”) latest rulemaking, which focuses on the Fair Credit Reporting Act, medical debt, and data brokers, with the following statement from CEO Scott Purcell:
The CFPB released a sweeping, complex and comprehensive Small Business Regulatory Enforcement Fairness Act outline related to the Fair Credit Reporting Act this week, which fundamentally would alter the U.S. credit-based economy as it is today in terms of consequences for not paying your bills.
The CFPB’s choice to give small-business owners less than a month to digest and respond to such a proposal while they continuing to operate their business—in addition to the political statements made by the White House today—reveal a pre-determined outcome on this issue.
It is unfortunate that the CFPB and the White House are not considering the hosts of consequences that will result if medical providers are singled out in their billing compared to other professions or industries.
Sadly, today’s rhetoric is in line with the refusal of the CFPB over the past two years to fully consider the real-world impact of its actions and seek input from impacted stakeholders.
“There’s too much at stake for Americans’ access to quality health care by taking actions that only negatively affect the cash flow to the health care community without finding ways to replace those funds,” said ACA CEO Scott Purcell.
A holistic approach to address the needs and economic models of health care providers, especially small doctor’s offices and those in rural areas is critical for the CFPB to consider.
As an overarching matter, ACA does not believe the CFPB should take any actions related to limiting options for health care providers without robust and data-driven research proving that they will not harm the ability to access medical services or the ability to offer and be compensated for medical care provided. It is also far from clear that the CFPB has the legal authority to take the actions it proposes in its SBREFA outline discussed today related to credit reporting.
Congress can make major changes to the U.S. medical system if, through their elected officials, consumers ask them to do so. However, a politically driven agency should not be arbitrarily picking winners and losers in the marketplace and discriminating against certain professions such as health care providers.
ACA International (ACA), the association of credit and collection professionals, is the largest membership organization in the credit and collection industry. Founded in 1939, ACA brings together third-party collection agencies, law firms, asset buying companies, creditors and vendor affiliates, representing tens of thousands of industry professionals. ACA produces a wide variety of products, services and publications, including educational and compliance-related information; and articulates the value of the credit and collection industry to businesses, policymakers and consumers. www.acainternational.org.
-xxx-