Medical debt is in no way the same as other debt though. It’s not the same as real debt. For one you’re dealing with the cartel system that is medical insurance. So it’s not a fair Marketplace to begin with. However the real kicker is you don’t have a choice on it. Oftentimes you’re injured and are brought to a hospital and you don’t have time or the ability to call your insurances 24/7 helpline to figure out what the prices are and where what hospital you should go to. Medical debt is often involuntary and a matter of life and death. Not even mentioning the Absurd disgusting costs of it.
You simply can’t compare it to someone taking too big of a loan for a car. And frankly saying well the real problem is something else doesn’t really help actual living human beings. Because that real problem is not going to be solved and this could have helped people. You can’t let this Pie in the Sky idealism stop us from helping actual people right now. Someone shouldn’t die on the streets because you think an ideal should be achieved first.
It is real debt in the sense that you have an obligation to pay it back.
Sure, you don’t have a choice to take it, but that doesn’t mean it won’t effect your finances.
Of course it’s real debt, but taking it on is involuntary. It does not have the same behavioral predictive power as debt that exists because of bad financial decisions.
It might affect your ability to pay, but less so if it is not on the credit report to begin with.
Right I feel like you’re all missing my point, I probably didn’t explain my thought process well.
The premise is that:
giving out loans involves risk. To make the risk worth while, the lender needs more upside(higher rate). The more unknowns, the more risk, thus higher rates.
My logic is that if lenders had more information then they would be better positioned to evaluate risk, thus borrowing could become less expensive for people that are less risky. This is due to competition between lenders for customers. On that, based on friends getting mortgages recently, it does actually feel like there is a decent amount of competition that space specifically.
I will admit that in one of the other threads someone linked to a study that proves this wrong for medical debt specifically.
Medical debt is in no way the same as other debt though. It’s not the same as real debt. For one you’re dealing with the cartel system that is medical insurance. So it’s not a fair Marketplace to begin with. However the real kicker is you don’t have a choice on it. Oftentimes you’re injured and are brought to a hospital and you don’t have time or the ability to call your insurances 24/7 helpline to figure out what the prices are and where what hospital you should go to. Medical debt is often involuntary and a matter of life and death. Not even mentioning the Absurd disgusting costs of it.
You simply can’t compare it to someone taking too big of a loan for a car. And frankly saying well the real problem is something else doesn’t really help actual living human beings. Because that real problem is not going to be solved and this could have helped people. You can’t let this Pie in the Sky idealism stop us from helping actual people right now. Someone shouldn’t die on the streets because you think an ideal should be achieved first.
It is real debt in the sense that you have an obligation to pay it back. Sure, you don’t have a choice to take it, but that doesn’t mean it won’t effect your finances.
Of course it’s real debt, but taking it on is involuntary. It does not have the same behavioral predictive power as debt that exists because of bad financial decisions.
It might affect your ability to pay, but less so if it is not on the credit report to begin with.
Should debt to loan sharks and illegal bookies be on your credit report too?
I’m sure if they could get that info it would be on there. Seems like it would be useful for loan decisions.
Of course they would.
The question was “should they” not “would they”
Right I feel like you’re all missing my point, I probably didn’t explain my thought process well.
The premise is that: giving out loans involves risk. To make the risk worth while, the lender needs more upside(higher rate). The more unknowns, the more risk, thus higher rates. My logic is that if lenders had more information then they would be better positioned to evaluate risk, thus borrowing could become less expensive for people that are less risky. This is due to competition between lenders for customers. On that, based on friends getting mortgages recently, it does actually feel like there is a decent amount of competition that space specifically.
I will admit that in one of the other threads someone linked to a study that proves this wrong for medical debt specifically.
stop simping for capitol
Disgusting
Yikes.