The Democratic Women’s Club of Walton County abolished $1,670,497.85 of medical debt for 1,971 needy families and individuals in six counties in the Florida Panhandle. Coordinating closely with the national non-profit organization RIP Medical Debt, which buys large amounts of medical debt in bulk at drastically reduced rates, the $7,620 that was raised by the Democratic Women bought $1,670,497.85 of medical debt, which was immediately wiped out for beneficiaries who were screened by RIP.
The project was the brainchild of Mary Wolfe, past President and Community Projects Chair and current Parliamentarian of the club. She read an article about RIP Medical Debt and suggested the idea to the club. The Democratic Women’s Club annually donates 10% of their budget to charity. In the club’s 2022 budget, that figure was $254. Due to the generosity of donors (current and former club members, community friends, and complete strangers), the club’s seed money of $254 grew to $7,620, far exceeding the club’s initial, very ambitious goal of $5,000.
Through her extensive research working on this project, Ms. Wolfe learned the following facts: Medical debt is prevalent in all socioeconomic groups. However, black communities have the most debt and are subjected to the harshest collection techniques. No one is immune from accumulating medical debt. The three top predictors of medical debt are, in order: getting sick, no insurance and poor insurance coverage. No one should ever put medical charges on a credit card unless they are absolutely certain that they can repay. Once it goes on a credit card, it is classed as consumer debt, which is treated differently than medical debt. Hospitals, especially those that are “not for profit,” are required to offer financial counseling and opportunities to have charges reduced or eliminated. This option should be explored before a patient leaves the hospital.
RIP Medical Debt is turning some of their focus from abolishing debt to searching for ways to make sure that medical debt is never created. Although RIP does not work on an individual basis, recipients must qualify based on income. RIP buys debt in huge bundles on the debt marketplace. It is traded just like a commodity. Due to the diligence and hard work of Ms. Wolfe and other members of the Democratic Women’s Club of Walton County and to the generosity of donors to this project, the lives of 1,971 individuals and families in Bay, Holmes, Okaloosa, Santa Rosa, Walton and Washington Counties will be greatly improved.
