Medical Debt To Be Wiped Out for 250,000 People

Medical debt will be canceled for around 250,000 people in Connecticut, the first state in the U.S. to do so.

The New England state is planning to erase approximately $1 billion in medical debt this year by using American Rescue Plan Act funds.

Speaking on Good Morning America, Democrat Governor Ned Lamont said that people struggling with medical debt "should not have to suffer twice: first with the illness, then with the debt."

"I think it is really important that people have a sense that they can start building wealth of their own and making that easier for people to do," he continued. "And the best way to start: eliminate the debt you got." Newsweek has contacted Ned Lamont for comment via the contact form on his website.

According to Good Morning America, eligible residents will start to see changes taking effect in June this year. While a full criteria has not yet been released, the report indicates that single parents and lower income residents in Connecticut will be eligible for having their medical debts wiped.