Oakland County Abolishes $6M+ in Medical Debt – MI Local News

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Oakland County Eliminates $6 Million in Medical Debt, Reaching $15 Million Total Relief

Pontiac, MI – March 23, 2026 – Oakland County’s ongoing initiative to alleviate the burden of medical debt has resulted in the elimination of over $6 million in debt for approximately 6,300 residents. This latest round of relief brings the total medical debt abolished by the county to more than $15 million, benefiting over 20,000 residents since the program’s inception.

A Second Chance for Residents

“This initiative is about giving people a second chance,” said Oakland County Executive Dave Coulter in a press release. “By eliminating this burden for thousands more residents, we’re helping people regain their financial footing.”

How the Program Works

The program partners with the national nonprofit Undue Medical Debt to identify and abolish qualifying medical debt. Notification letters informing residents of the debt elimination began arriving in mailboxes on March 9, 2026.

Eligible residents must either earn at or below four times the federal poverty level or have medical debt that exceeds 5 percent of their annual income. Undue Medical Debt purchases qualifying debts for pennies on the dollar and then permanently abolishes them.

Funding and Impact

The initiative is funded by $2 million in federal American Rescue Plan Act (ARPA) funding, which Oakland County is utilizing to abolish tens of millions of dollars in medical debt for tens of thousands of residents according to Oakland County officials.

Medical debt is a significant financial hardship for many Americans, and a leading cause of bankruptcy. An estimated 114,000 Oakland County residents are affected by medical debt.

Program Limitations

The program operates on a source-based model. This means that debts can only be abolished if the healthcare provider or debt holder agrees to participate. Residents cannot directly apply for the program; instead, eligible debts are identified through partnerships between Undue Medical Debt and participating providers.

Future Relief Efforts

Oakland County will continue to collaborate with Undue Medical Debt and healthcare providers to identify additional eligible debt for future rounds of relief as reported by MLive.

For more information about the medical debt abolition program and Undue Medical Debt, visit UndueMedicalDebt.org.

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