Two trade associations have filed a lawsuit against the Consumer Financial Protection Bureau (CFPB) over a recent rule that prohibits medical debt reporting in credit reports.
On Jan. 7, the federal agency finalized a rule seeking to “ban the inclusion of medical bills on credit reports used by lenders and prohibit lenders from using medical information in their lending decisions.” Agency Director Rohit Chopra said, “people who get sick shouldn’t have their financial future upended.”
The same day, trade groups Consumer Data Industry Association and Cornerstone Credit Union League filed a lawsuit in the U.S. District Court, Eastern District of Texas, to prevent the rule from coming into effect….