Unpaid medical debt will no longer affect credit scores, according to a new rule from Biden administration regulators who want to mitigate the financial repercussions of those bills.

Americans won’t have to worry about unpaid medical bills damaging their credit reports and scores much longer.

Lenders soon won't be able to consider unpaid medical bills as a credit history factor when they evaluate potential borrowers in the U.S. for mortgages, car loans or business loans.

The agency said the rule would remove $49 billion in medical debts from the credit reports of about 15 million Americans. It was adopted despite demands from Republicans in Congre

The rules ban credit agencies from including medical debts on consumers' credit reports and prohibit lenders from considering medical information in assessing borrowers.

The Biden administration finalized a new rule that will prevent Americans from the harm caused by medical debt, including being coerced by debt collectors to pay bills they do not owe.

The rules ban credit agencies from including healthcare debts on consumers’ credit reports but will likely face challenges in the Trump Administration and in the courts.