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North Carolina effort wipes out $6.5B in medical debt for 2.5M people

The program, funded through federal Medicaid dollars, erased $6.5 billion in medical debt for 2.5 million residents, surpassing initial projections, officials said.

  • North Carolina has relieved over $6.5 billion in medical debt for more than 2.5 million residents through a state program funded by federal Medicaid dollars.
  • The program partnered with all 99 acute care hospitals in the state and the nonprofit Undue Medical Debt to eliminate existing debt and prevent future accumulation.
  • To qualify, hospitals had to relieve debt for low- and middle-income residents, adopt generous charity care policies, streamline financial assistance, and stop reporting medical debt to credit agencies.
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North Carolina effort wipes out $6.5B in medical debt for 2.5M people

Officials say a North Carolina government initiative is eliminating over $6.5 billion in medical debt for more than 2.5 million residents.

·United States
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  • 38% of the sources lean Left, 38% of the sources are Center
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WCNC broke the news in on Monday, October 13, 2025.
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