Methodist Le Bonheur wipes out medical debt for 6,500 patients

Memphis, Tenn.-based Methodist Le Bonheur Healthcare erased medical debt for more than 6,500 patients after an investigation by MLK50 and ProPublica.

In the investigation published in June, MLK50 and ProPublica found Methodist filed more than 8,300 debt lawsuits from 2014-18. Often, the system sued low-income patients who couldn't pay their medical bills, according to the publications. 

Now, MLK50 and ProPublica said it appears Methodist is not using courts to collect past-due medical bills anymore. It also hasn't filed any new lawsuits seeking collections from patients or garnishment attempts since July 3, according to the report.

In one case of debt cancellation, a patient saw $16,000 in past-due medical debt and attorney's fees wiped out by Methodist.

The debt removal comes less than two months after Methodist, which is the largest nonprofit health system in Memphis, changed how it collects past-due bills from patients.

Read more here.

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