What happened
A Texas judge Tuesday ruled that medical debt can be included in credit reports, potentially making it harder for many people to secure mortgages or other loans.
Who said what
"Every major substantive provision" of the Biden-era policy exceeded the CPFB's mandate, said Texas Eastern District Court Judge Sean Jordan, who was nominated to his seat by President Donald Trump in 2019.
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Removing medical debt from credit reports was expected to "increase the credit scores of millions of families by an average of 20 points," said The Associated Press. Republicans had "voiced opposition" to the policy "soon after it was proposed last August," claiming that it could "undermine underwriting processes" and "increase risk in the financial system," said CNN.
What next?
The ruling likely makes it harder for some people to get a loan, said Fortune. It also comes after the Trump administration ordered a series of dramatic cuts to CFPB operations earlier this year, said the AP, "effectively shutting it down."
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