18,000 Delaware Residents Free from Medical Debt

Delaware Governor Matt Meyer has announced significant progress in the state’s medical debt elimination initiative, revealing that nearly $19 million in medical debt has been wiped out for over 18,000 residents to date.

This initiative is bolstered by a $500,000 allocation in the 2026 fiscal year state budget, aimed at partnering with Undue Medical Debt, a national nonprofit organization. The goal is to eliminate up to $50 million in qualifying medical debt. Undue Medical Debt operates by acquiring burdensome medical debts in bulk for a fraction of their face value, allowing one dollar to erase an average of $100 in medical debt.

According to Governor Meyer, Undue Medical Debt has successfully abolished $18.8 million in medical debt for 18,145 individuals throughout Delaware. The beneficiaries of this relief encompass a wide age range, including over 2,300 young adults aged 18–30, nearly 7,000 residents aged 31–45, more than 4,300 individuals aged 46–60, and over 3,000 Delawareans aged 61 and older.

Governor Meyer emphasized that his administration will continue its collaboration with Undue Medical Debt to facilitate additional debt purchases in the coming months, aiming to reach the ambitious target of $50 million in total medical debt relief.

Undue Medical Debt employs a unique strategy by purchasing bundled medical debt portfolios from hospitals and commercial debt buyers at a fraction of their original cost, subsequently abolishing that debt entirely.

Importantly, there is no application process for residents seeking relief. Eligibility is determined based on financial need. Delaware residents qualify if their household income is at or below 400% of the federal poverty level—approximately $100,000 for a family of three—or if their medical debt constitutes five percent or more of their annual household income.

Residents who qualify will receive a letter directly from Undue Medical Debt, confirming that their medical debt has been eliminated. The first round of relief letters is expected to arrive in mailboxes between December 19 and December 23, 2025. Recipients are not required to take any action.

Source: Delaware News

Delaware Governor Matt Meyer has announced significant progress in the state’s medical debt elimination initiative, revealing that nearly $19 million in medical debt has been wiped out for over 18,000 residents to date.

This initiative is bolstered by a $500,000 allocation in the 2026 fiscal year state budget, aimed at partnering with Undue Medical Debt, a national nonprofit organization. The goal is to eliminate up to $50 million in qualifying medical debt. Undue Medical Debt operates by acquiring burdensome medical debts in bulk for a fraction of their face value, allowing one dollar to erase an average of $100 in medical debt.

According to Governor Meyer, Undue Medical Debt has successfully abolished $18.8 million in medical debt for 18,145 individuals throughout Delaware. The beneficiaries of this relief encompass a wide age range, including over 2,300 young adults aged 18–30, nearly 7,000 residents aged 31–45, more than 4,300 individuals aged 46–60, and over 3,000 Delawareans aged 61 and older.

Governor Meyer emphasized that his administration will continue its collaboration with Undue Medical Debt to facilitate additional debt purchases in the coming months, aiming to reach the ambitious target of $50 million in total medical debt relief.

Undue Medical Debt employs a unique strategy by purchasing bundled medical debt portfolios from hospitals and commercial debt buyers at a fraction of their original cost, subsequently abolishing that debt entirely.

Importantly, there is no application process for residents seeking relief. Eligibility is determined based on financial need. Delaware residents qualify if their household income is at or below 400% of the federal poverty level—approximately $100,000 for a family of three—or if their medical debt constitutes five percent or more of their annual household income.

Residents who qualify will receive a letter directly from Undue Medical Debt, confirming that their medical debt has been eliminated. The first round of relief letters is expected to arrive in mailboxes between December 19 and December 23, 2025. Recipients are not required to take any action.

Source: Delaware News