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"Hospitals shouldn't have to be paid, " he says. Sesso says the group is constantly looking for new debt to buy from hospitals: "Call us! The group says retiring $100 in debt costs an average of $1. But many eligible patients never find out about charity care — or aren't told. RIP CEO Sesso says the group is advising hospitals on how to improve their internal financial systems so they better screen patients eligible for charity care — in essence, preventing people from incurring debt in the first place. Terri Logan says no one mentioned charity care or financial assistance programs to her when she gave birth. "They would have conversations with people on the phone, and they would understand and have better insights into the struggles people were challenged with, " says Allison Sesso, RIP's CEO. "I avoided it like the plague, " she says, but avoidance didn't keep the bills out of mind. Linkle uses her body to pay her debt to gain. Logan, who was a high school math teacher in Georgia, shoved it aside and ignored subsequent bills. The debt shadowed her, darkening her spirits. "We prefer the hospitals reduce the need for our work at the back end, " she says.

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Soon after giving birth to a daughter two months premature, Terri Logan received a bill from the hospital. Linkle uses her body to pay her debt early. Her first performance is scheduled for this summer. RIP Medical Debt does. A surge in recent donations — from college students to philanthropist MacKenzie Scott, who gave $50 million in late 2020 — is fueling RIP's expansion. She had panic attacks, including "pain that shoots up the left side of your body and makes you feel like you're about to have an aneurysm and you're going to pass out, " she recalls.

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Numerous factors contribute to medical debt, he says, and many are difficult to address: rising hospital and drug prices, high out-of-pocket costs, less generous insurance coverage, and widening racial inequalities in medical debt. It means that millions of people have fallen victim to a U. S. insurance and health care system that's simply too expensive and too complex for most people to navigate. New regulations allow RIP to buy loans directly from hospitals, instead of just on the secondary market, expanding its access to the debt. Then a few months ago — nearly 13 years after her daughter's birth and many anxiety attacks later — Logan received some bright yellow envelopes in the mail. "But I'm kinda finding it, " she adds. RIP buys the debts just like any other collection company would — except instead of trying to profit, they send out notices to consumers saying that their debt has been cleared. Linkle uses her body to pay her debt for a. A quarter of adults with health care debt owe more than $5, 000. Yet RIP is expanding the pool of those eligible for relief. One criticism of RIP's approach has been that it isn't preventive; the group swoops in after what can be years of financial stress and wrecked credit scores that have damaged patients' chances of renting apartments or securing car loans. And about 1 in 5 with any amount of debt say they don't expect to ever pay it off.

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The "pandemic has made it simply much more difficult for people running up incredible medical bills that aren't covered, " Branscome says. Plus, she says, "it's likely that that debt would not have been collected anyway. 6 million people of debt. Depending on the hospital, these programs cut costs for patients who earn as much as two to three times the federal poverty level. Nor did Logan realize help existed for people like her, people with jobs and health insurance but who earn just enough money not to qualify for support like food stamps. "I don't know; I just lost my mojo, " she says. That money enabled RIP to hire staff and develop software to comb through databases and identify targeted debt faster. Juan Diego Reyes for KHN and NPR. Terri Logan (right) practices music with her daughter, Amari Johnson (left), at their home in Spartanburg, S. C. When Logan's daughter was born premature, the medical bills started pouring in and stayed with her for years. It's a model developed by two former debt collectors, Craig Antico and Jerry Ashton, who built their careers chasing down patients who couldn't afford their bills.

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"A lot of damage will have been done by the time they come in to relieve that debt, " says Mark Rukavina, a program director for Community Catalyst, a consumer advocacy group. She was a single mom who knew she had no way to pay. Eventually, they realized they were in a unique position to help people and switched gears from debt collection to philanthropy. RIP bestows its blessings randomly.

As NPR and KHN have reported, more than half of U. adults say they've gone into debt in the past five years because of medical or dental bills, according to a KFF poll. Sesso said that with inflation and job losses stressing more families, the group now buys delinquent debt for those who make as much as four times the federal poverty level, up from twice the poverty level. "So nobody can come to us, raise their hand, and say, 'I'd like you to relieve my debt, '" she says. Its novel approach involves buying bundles of delinquent hospital bills — debts incurred by low-income patients like Logan — and then simply erasing the obligation to repay them. Heywood Healthcare system in Massachusetts donated $800, 000 of medical debt to RIP in January, essentially turning over control over that debt, in part because patients with outstanding bills were avoiding treatment. Ultimately, that's a far better outcome, she says. RIP is one of the only ways patients can get immediate relief from such debt, says Jim Branscome, a major donor. Sesso emphasizes that RIP's growing business is nothing to celebrate. The three major credit rating agencies recently announced changes to the way they will report medical debt, reducing its harm to credit scores to some extent. Logan's newfound freedom from medical debt is reviving a long-dormant dream to sing on stage.

He is a longtime advocate for the poor in Appalachia, where he grew up and where he says chronic disease makes medical debt much worse. "We wanted to eliminate at least one stressor of avoidance to get people in the doors to get the care that they need, " says Dawn Casavant, chief of philanthropy at Heywood. 7 billion in unpaid debt and relieved 3. The medical debt that followed Logan for so many years darkened her spirits. Policy change is slow. They were from a nonprofit group telling her it had bought and then forgiven all those past medical bills. Some hospitals say they want to alleviate that destructive cycle for their patients. We want to talk to every hospital that's interested in retiring debt. To date, RIP has purchased $6. What triggered the change of heart for Ashton was meeting activists from the Occupy Wall Street movement in 2011 who talked to him about how to help relieve Americans' debt burden. "I would say hospitals are open to feedback, but they also are a little bit blind to just how poorly some of their financial assistance approaches are working out. After helping Occupy Wall Street activists buy debt for a few years, Antico and Ashton launched RIP Medical Debt in 2014.

The pandemic, Branscome adds, exacerbated all of that. They started raising money from donors to buy up debt on secondary markets — where hospitals sell debt for pennies on the dollar to companies that profit when they collect on that debt.

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