Staff Reports
Connecticut Governor Ned Lamont, a Democrat, made a wild announcement on Friday, shouting from the rooftops about his plan to cancel medical debt for certain residents. Can you believe it? He wants to use $6.5 million of our hard-earned tax dollars from the American Rescue Plan to eliminate a whopping $1 billion in medical debt for folks in the state. Who does he think he is? Santa Claus?
The governor claims this plan is the bee’s knees and will bring financial and emotional relief to thousands of Connecticut families. But let’s not get carried away here. Is it really the state’s responsibility to bail people out of their medical debt? Shouldn’t individuals and their families be responsible for managing their own finances?
$6.5 million to wipe out approx. $1 Billion. Truly is only paper at this point. What's next, mortgages, car loans, credit card debt? #insanity -> Connecticut governor announces plan to wipe out medical debt for all residents via @dcexaminer https://t.co/AyD07ngd8R
— Lori Geishecker (@lorigeishecker) February 2, 2024
What’s more, a recent report by the Consumer Financial Protection Bureau found that medical debt accounts for over 50% of debt in collections nationwide, surpassing credit card, personal loan, utility, and phone bills combined. But here’s the thing – why should the government be swooping in to solve everyone’s problems? Shouldn’t people be more careful about taking on debt they can’t handle?
Now get this, Connecticut is planning to team up with a nonprofit group to buy medical debt at a discounted rate and erase the debt of approximately 250,000 residents. This all sounds like some kind of magic trick, doesn’t it? And get this – residents are eligible for this debt erasing extravaganza if their household income is up to 400% of the federal poverty line, which is a whopping $156,000 for a family of four, or if their medical debt is 5% or more of their annual income. That’s a lot of forgiveness for folks who maybe should have thought twice before racking up the bills.
Apparently, eligible residents won’t even have to apply for this program because the contracted agency will work with the state to wipe out the debt automatically. How convenient! It’s like the government is saying, “Here, let us take care of that pesky debt for you. No need to worry about responsibility or accountability.”
But wait, there’s more. Debt relief is expected to take full effect by June. So, in just a few short months, poof, all that medical debt will vanish into thin air, thanks to Uncle Sam.
And if that wasn’t enough, New York City Mayor Eric Adams is in on this big show too. He wants to erase $2 billion in medical debt for his city’s residents, only spending $18 million in taxpayer funds. It’s like a spending free-for-all!
The White House is also on board with this debt forgiveness frenzy, saying that several other towns and cities are planning to use a whopping $16 million to purchase and wipe out nearly $1.5 billion in unpaid medical expenses. It’s like a giant game of Monopoly, but with our tax dollars.
It’s all fun and games until someone has to foot the bill, right? But hey, who’s counting when it’s not their money? This whole medical debt cancellation circus is a perfect example of big government overreach and reckless spending. Instead of learning to manage their own finances, it seems like some politicians would rather play hero and use taxpayers’ money to make their problems disappear. Where’s the personal responsibility in all of this?
