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Is a Low Credit Score a True Reflection of Poor Repayment History?

Low Credit Score Blues?

When it comes to low credit scores we are all taught the same thing, a low score generally means poor payment history. Well not all debts are created equal, or at least they shouldn’t be. A recent article in the Huffington Post evaluated how well a person’s credit score predicted how likely they were to pay back their debts. The findings teach us not to place everyone with a low credit score in the same basket. Those with medical debt are actually more likely to pay back loans when compared to other borrowers with equal credit scores.

Read more here: http://www.huffingtonpost.com/2014/05/22/medical-bills-credit_n_5368441.html

For the uninsured, outrageously expensive medical bills and the inability to pay back those bills does not reflect a person’s true credit worthiness. If your credit score is being unfairly hurt by medical bills or other bills like credit cards, it may be time to consider debt settlement. A qualified debt settlement attorney can negotiate for large reductions in your medical bills without the need for bankruptcy.

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Kevin Fallon McCarthy is the McCarthy Law PLC’s managing attorney and an experienced Phoenix debt attorney. Mr. McCarthy has also worked as general counsel for a large corporation. He has corporate counsel experience in human resource matters, general corporate governance, and union class action litigation.