Many opt to skip filling prescriptions, avoid expensive recommended tests, and avoid doctor visits because of the costs associated with the acts.

The numbers are staggering. Forty-one percent of young adults between the age of 19 and 29 failed to get medical care in a recent 12-month period because of cost, according to a Commonwealth Fund report.

Experts say that even when they do attend doctor visits, young people ignore medical advice once they hear the costs involved with the treatments or therapies.

Young Adults Struggling with Medical Debt

The report also highlights that 36% of young adults age 19 to 29 reported problems paying medical bills or paying off medical debt over an extended period of time.

Also, 43% of those who reported medical debt stated they had used up all of their savings to pay their bills.

Out of the young adults in the report, 33% put medical bills on credit cards and 32% were unable to pay off student loan debt or tuition payments.

Furthermore, 31% said they had to delay education due to their medical debt and 28% were unable to pay for basics like food or rent.

As staggering as those numbers are, the Commonwealth Fund report points to the Affordable Care Act as helping those young adults until the age of 26 by allowing them access to affordable insurance.

Around 2.5 million young adults from age 19 to 25 attained health coverage as a result of the 2010 Affordable Care Act, according to the U.S. Department of Health and Human Services.

However, those who turn 26 and have no insurance or a lackluster plan through their respective companies are out of luck.

High deductibles, co-payments and co-insurance have crippled young adults who never expected or budgeted for the high costs of medical bills, experts say.

The job market is partly to blame. For recent college graduates, it’s difficult finding a full-time position that offers good benefits such as the ever-important insurance plan. Many aren’t even offered an insurance plan once hired.

The unemployment rate in March was 16.4% for young adults age 16 to 24. That’s nearly double to national average of the entire population, according to CNN Money.

What Do I Do?

Well, experts say there are somewhat affordable plans that are offered by individual insurance companies. However, the cost of those plans jump to significant heights if you have preexisting conditions such as diabetes or asthma.

Since most young adults are considered healthy, many opt out of medical insurance and walk a dangerous line. Experts warn that even an expensive plan is worth the risk to prevent a potential nightmare situation down the line.

It’s possibly more important than ever to have a solid credit score.

However, there are many ways in which your credit score can accumulate ‘dings’, or negative points.

U.S. News & World Report and Bankrate, Inc have detailed some wacky ways in which credit scores can be negatively affected.

Closing Your Credit Cards

Closing a credit card can affect a number of factors that determines your credit score. For one, the amount of available credit (i.e. the credit you have versus the credit that you’ve used) is lost and can register a ‘ding’ on your report. Average age of existing accounts is also affected, especially if the card you are closing is older than the rest of your accounts.

Moving? Better Fill The Form Out

When changing addresses experts say that it’s beneficial to register your new address with the United States Postal Service to insure you continue to receive your bills via snail mail. Late payments get reported to collection agencies after 30 days and will be reported on your credit report as well.

Know Someone Who Can Check Your Score For ‘Free’?

If you have friends in the retail industry (banking or sales) that has access to professional programs that check customer credit scores, asking them to check your own score can hurt it. These checks are known as “hard inquires” that register as someone other than yourself checking your score for any number of reasons such as applying for a loan.

Take the DIY route and you’ll be better off in the long run, according to the experts.

Library Fees

Some libraries are now sending trivial fees to collection agencies in order to make up for massive budget cuts experienced by many of the nation’s libraries. Make sure your copy of Hunger Games gets dropped off in the bin the next time you drive by the library.

Speed Much?

Unpaid speeding and parking tickets can have a negative effect of your credit score, believe it or not. Some fines are categorized as debts to the county of the violation which means you are defaulting on a debt when it gets reported.

Identity Thieves

One of the major reasons why people are now checking their credit scores religiously is identity theft. Monitoring your score is a good way to thwart any thieves from stealing your identity, which can have huge implications of your score.

You may be saying to yourself that obtaining an 800 on your credit report is equivalent to telling your boss how you really feel about him or her and then getting the promotion you’ve been trying to land for years; it just isn’t happening.

As liberating as it may sound to chastise your boss, unfortunately it’s probably not in your best financial interest.

However, getting your credit score in the 800 range is possible; and with the right steps you’ll be able to sleep sound at night knowing your credit score is among the best.

Experts first advise that you obtain an accurate and detailed copy of your credit score from any number of online credit reporting sites.

Although, you must beware that you have a total of 3 credit scores (Equifax, TransUnion, and Experian) and some of the credit score sites only allow access to one at a time and may cost some money to view them.

According to FICO, a financial institution that reports credit, your credit score can differ depending on the different credit bureau. However, experts say that the scores only differ by 15 to 20 points.

Your score changes whenever creditors report new information. Credit card balances, filing bankruptcy.and foreclosure are some of the types of reports that affect your credit score.

If you find yourself in the market for a big loan (i.e. mortgage or car loan), experts suggest monitoring your credit score six to twelve months prior to applying.

Reaching an 800 credit score is a lofty but obtainable goal and, according to CNN Money there are some tactics that you can practice in order to secure a higher credit score.

5 Ways To Better Your Credit Score

1) Stay on top of your credit reports

As a consumer, you are entitled to one free credit report from each bureau annually. This will help in assisting you when you look for misreported delinquencies, over-reported loan amounts, and under reported credit limits. All of which affect your credit score. Experts say you should request corrections in writing.

2) Pay bills within the grace period

Lenders report deliquesces once you are 30 days past due on a bill. Your credit score can jump 100 points or more from just one late payment. Many companies offer automatic payments in order to insure you don’t fall behind.

3) Focus on paying down your credit cards vs. paying off other debt

Making dents in your revolving debt will do wonders for your credit score versus erasing installment debts. Experts say that paying off a $250,000 mortgage may boost your score only five to ten points whereas paying down a few thousands dollars on your credit card bill may boost your score as much as 100 points!

4) Stay under the 10% rule

Experts say that using credit cards sparingly is key because bureaus report the amount that is charges each month. You should only charge $2,000 on a credit limit of $20,000.

5) Pick a favorite and stick with it

The FICO model of credit reporting penalizes you for having multiple balances so experts say to limit charges to one of your cards to eliminate extraneous credit reporting.

The report comes months after consumers acted to disallow several large banking institutions from implementing monthly fees to their checking account-linked debit cards.

J.P. Morgan Chase will be unveiling the new prepaid debit cards this summer in all of its 5,541 branches, according to The Wall Street Journal.

Traditionally, prepaid debit cards are marketing towards consumers who otherwise cannot afford fees associated with regular checking accounts. The cards are pre-loaded with cash deposits and can be used just like any bank issued debit card.

J.P. Morgan Chase is the largest retail bank to implement such a product. Much of Chase’s recent marketing and advertising focus has been to pitch credit cards to their more affluent customer base.

The prepaid cards, named the Chase “Liquid” card, will have a $4.95 monthly charge attached to it. Customers will not be charged to add money to the card or to withdraw money from any of the Chase ATMs or tellers, according to The Wall Street Journal.

Other banks, including U.S. Bank, have begun selling the prepaid cards as an option their customers. American Express, who cemented its business in higher-income clients, has even started offering a prepaid debit card option. The popularity of the cards coupled with the potential windfall of profits tied to the monthly fees, in addition to other fees, have made the prepaid debit card option a key tactic in becoming profitable as a bank.

What Does This Mean To You, The Consumer?

Either way you look at it, the more options your bank gives you as a customer, the better off you are in the long run. More options give you the chance to make the best possible financial choices at your given banking institution and you are then able to form-fit a plan that fits your needs.

One reason banks are attracted to prepaid debit cards are the fact that they are exempt from a recent federal law limit banks from charging merchants for accepting credit or debit transactions. This means that the merchants that are allowing you to use your prepaid debit card will be charged more for that transaction, limiting their profitability. Experts warned, before the law was in affect, that this would drive the cost of goods and services up in order to make up for the retailer’s potential short comings.

While many of the preexisting prepaid debit cards have come under fire for inadequate fee disclosures and exuberant fees, Chase is full-steam ahead in their plan to issue the debit cards with monthly fees attached to them. Chase will rival companies that are already popular in the prepaid debit card market such as Western Union and Green Dot Corporation.

Experts warn to do your research before purchasing a prepaid debit card. They say to make sure that all the fees are well documented and understood before making the leap from checking account backed debit cards to prepaid cards.

The law originally was to protect consumers from litigious maneuvers to extract more money by way of fees as well as prevent consumers from racking up too much credit card debt.

Instead, a portion of the law states that one’s individual income must be a factor in determining approval status when applying for credit cards.

This means that a stay-a-home mom with no documented source of income will have a rough time gaining approval from the credit card companies. Even if her spouse has a job, no matter what income they make, the other will have a difficult time in securing a credit card.

In an economy where moms are struggling to balance work life with home life, many moms must stay at home to avoid extraneous expenses such as daycare and nanny fees.

Some moms that have been let go from lucrative careers due to the economic downturn have resorted to staying at home to take care of the children instead of looking for a new position in a job market where it may takes months to find.

On the flip side some dads have been forced to be stay-at-home dads due to the troubling job market. Thus, fathers who have previously been working will have a tougher time obtaining new credit cards without a viable source of income.

One Mom’s Fight

In a petition at Change.org, one mother staged her own fight against the rule.

Holly McCall, a stay at home mom, has received over 30,000 signatures of people who oppose the Card Act rule.

According to CNN, McCall delivered paper copies of the petition to the Consumer Financial Protection Bureau in Washington, D.C.

McCall’s fight has gained attention from other stay-at-home mothers. Some of who dressed up like housewives of the 1950’s for the event. They feel that the oppressive nature of the Credit Act rule has forced them to ask their husbands for credit card privileges and it reminds them of the 1950’s plight of women and women’s rights.

McCall hopes the petition will be the catalyst for the Consumer Financial Protection Bureau to amend the Credit Act rule that has demeaned stay-at-home mothers across the nation, according to CNN.

Experts feel that the petitioning of the rule is more about fair access to credit than opposing the Credit Act as a whole. Many consumers understand the other aspects of the Credit Act and how it has protected many consumers from obtaining mountainous debt.

According to CNN, the CFPB is looking into the issue.

The national delinquency rate, which is measured by collecting data on the number of credit card users who are more than 90 days overdue on their payments, dipped from .78 percent to .73 percent, sources indicate.

And while this may seem like a small decline, it represents thousands of people who are avoiding falling into credit card debt.

Credit Card Delinquency Rate Falls in Early 2012

According to information reported by Market Watch, consumers have been using their credit cards more wisely in the first three months of 2012:

• Average debt decreases. Sources say that the average amount of credit card debt held by each American consumer has dropped in 2012 by $242 from last year. Still, though, the average indebted consumer holds $4,962 in credit card debt, which is why so any Americans choose to file for Chapter 7 bankruptcy to try to solve their financial woes.
• Positive signs. Economic analysts say that the delinquency rate has now dropped for two consecutive quarters, which suggests that the wave of Americans who fell behind on their credit card payments during the recession may finally be slowing down. During the recession, the delinquency rate on credit cards reportedly reached record highs.
• Small-scale decreases. In addition to the broader decline in delinquency rates across the country, individual metropolitan areas also saw more responsible credit use. In the last three months of 2011, 79 percent of American cities saw an increase in their delinquency rate. In early 2012, however, only 28 percent of metropolitan areas had an increase in unpaid credit card bills.
• Hard-hit states recover. The states that suffered the most devastating impacts from the recession (through home foreclosure, job loss, and mass emigration) also saw good news in the latest report. States such as Arizona, Florida, California, and Nevada all experienced a decline in their credit card delinquency rates during the first few months of 2012.

So, American consumers seem to be making better credit card decisions, although this trend won’t necessarily last forever. Sources say that, as banks loosen their credit standards, more Americans are gaining access to credit cards, which could lead to rising delinquency rates down the road.

The lawsuit against the debt collector makes several startling allegations, but observers who follow the industry might note that debt collectors have a long history of preying on patients.

In fact, many people have chosen to file for Chapter 7 bankruptcy in an effort to escape the abusive tactics sometimes practiced by medical debt collectors.

Accretive Health Targeted by State Lawsuit

The Chicago Sun-Times reports that the Chicago-based medical debt collection company is in serious trouble:

• The lawsuit. Minnesota Attorney General Lori Swanson filed the lawsuit earlier this year against Accretive Health, which has contracts with two Minnesota hospitals.
• The allegations. In the lawsuit, Swanson alleges that Accretive Health misused private patient information and routinely pushed patients to pay for medical services before they even received treatment. Sources say the debt collectors went so far as to demand funds from patients who were still in a hospital bed. Some of these patients chose to forego treatment rather than pay the aggressive collectors.
• Disturbing example. The company has allegedly gained a reputation as creating “high-pressure, boiler room-style atmospheres.” This strong claim is supported by the story of one Illinois woman who apparently prepaid for a surgery but paid four times too much, thanks to the pressuring tactics of the debt collector.
• Clash of interests. The company’s allegedly unsavory tactics seem particularly out of place when applied in nonprofit hospitals. According to Swanson, “[w]hat we’ve uncovered is a culture clash between the mission of a nonprofit hospital, which is to care for the sick and the infirm, and Accretive’s goal of making as much money as possible for its private shareholders.”

In response to these allegations, a spokesperson for Accretive Health told sources that the company has a “great track record of helping hospitals enhance their quality of care,” but she declined to comment further on the matter.

Medical debt is one of the leading causes of bankruptcy in the United States, and firms like Accretive Health that reportedly use high-pressure tactics to collect payments for medical treatments help convince many people to seek bankruptcy protection.

By filing for bankruptcy, people with medical debt immediately receive the benefits of the automatic stay, which keeps aggressive creditors at bay while filers try to regain their financial footing.

That number is up 13 percent from the previous two years.

A recent survey done by the Commonwealth Fund showed that one out of five adults is currently paying off debt from medical bills.

One reason experts are attributing  the rise in medical debt is the high unemployment rate.

Insurance benefits often curtail much of the burden that medical bills put on Americans. With the unemployment rate somewhere in the 8-9 percent range, Americans are prone to bear the brunt of their medical expenses on their own.

However, even Americans who are covered by health insurances plans can still accrue a large amount medical debt. According to Commonwealth Fund Biennial Health Insurance Survey, around two-thirds of people with medical debt had health insurance coverage when the medical emergency occurred.

With companies shedding costs by reducing coverage and shifting the burden of cost to the employee, many Americans are left with expensive medical bills.

As a result, many employees opt for a higher deductable to lower the monthly charge for coverage. Although this offers short term relief, in the long run it often costs employees more money. According to the Commonwealth Fund survey, over half of the people with a deductible higher than $1,000 reported trouble paying their medical bills.

Contributing to a rise in people seeking financial help for their medical bill is the rate at which medical bills are referred to collection agencies. Often, medical bills carry a high negative balance; a balance in which the hospitals and clinics can’t afford to pursue on their own.

Mistakes Are Made

One common mistake Americans make to combat high medical bills is putting the expenses on to credit cards. Some people even open up new credit cards for the sole purpose of paying for doctor visits and other medical expenses.

Another actions Americans take to pay for medical expenses is a home equity loan. The loan payments that are produced from this type of loan can potentially rise higher than the original medical bill you had set out to combat. Experts warn to avoid taking out this type of loan due to the heightened risks involved, including the possibility of losing your home.

Mistakes are also common on the hospital’s end as well. Experts suggest being diligent in examining your medical bill before you leave the hospital. Many tests and services are often added errantly on to bills.

Experts suggest contacting the hospital or clinic directly to solve medical debt issues. Experts also warn that reaching for a credit card should be a last resort, causing financial headaches further down the line.

Should you deposit that money into your checking account and spend it at will or should you use all, or part of the refund to pay down existing credit card debt?

The answer: it’s completely up to you.

Profound, I know.

However, US News & World Report recently detailed five trustworthy steps to pay down your credit cards efficiently and get the debt monkey off your back (and even one that’ll help when the others won’t).

Budgeting Is Key

Experts say that the first step to implementing a responsible budget is to spend less. Put that money in to a savings account where it can later be used to sufficiently and conveniently pay down your credit card debt.

Another, more thought provoking, way to budget for credit card debt is to just plain earn more. This requires tactfulness and may not be possible for the percentage of Americans working long hours at multiple jobs. Either way, experts say that you have to budget for extra dollars in order to know how much extra you can pay each month to get your credit card debt paid off.

Balance Transfer Offers Help

Many card issuers are offering balance transfer offers of 0% interest for 12 months or sometimes even longer. Balance transfers can help because the money you pay towards your credit card debt goes directly to paying off the principal balance.
Experts warn that these offers often come with fees, somewhere in the range of 3 to 5 percent. Although there is a fee, often the fee is much lower than the interest that you would accrue through regular payments before a balance offer to a 0% interest card.

Use Your Debit Card Instead

Experts say that if you have any hope in eliminating credit card debt (or at least making a significant dent) you must stop accruing credit card debt. Many times it’ll be tempting to reach for that credit card when at the register but experts say cutting up your credit cards will eliminate that temptation. You will never pay down the debt if you keep racking it up.

Use Your Negotiating Skills To Obtain New Terms

Loyalty is important in the credit card business. Credit card companies want you as a customer for as long as possible so if you’ve been a loyal customer, making payments on time for an extended period, you may be able to renegotiate your interest rate (depending on the mood of the customer service representative; be polite, it goes a long way).

Consider Bankruptcy

Experts say that if you have a significant amount of debt and you’ve tried everything under the sun to get out of it then bankruptcy can be a viable option in the long run. It’s important to note that you have options and talking with a bankruptcy specialist will help you on the road to debt recovery.

Between January and March of 2012 credit card borrowing fell by $5 billion.

The Federal Reserve report excludes mortgages, home equity loans, and other loans associated with real estate.

According to the Associated Press, consumers carried $799 billion in credit card debt in February 2012 – 15% less than the start of the economic recession in December 2007.

Also mentioned was that consumer spending rose in February by the most in seven months. Experts point to consumers spending more cash in an effort to continue to pay down their debt.

Despite the falling number in consumer credit card debt, experts warn that keeping an eye on your credit score is important and connecting with a local bankruptcy attorney in your area if you are having issues or want an alternative to paying down your debt.

What Affect Does This It Have On Your Credit Score?

Aspowerful as a credit score can be, it’s important to know all the factors that comprise your score. We all know that the higher the credit score, the less risk you are to potential borrowers but what you may not know is that potential employers can pull your score in order to determine if you are a risky hire.

As it becomes more and more important to have an appealing credit score, U.S. News & World Report recently outlined 6 ways in which you can personally improve your score.

The 6 Steps To A Better Credit Score

1) Check your credit score for errors:

Errors on your report can cost you. Some ways in which errors can happen are people with the same name as yourself affecting your score and the ever-haunting identity theft. Thieves can affect your score by running up the spending that appears on your report. Experts warn that you should check your credit score (there are many free sites available to do so) diligently for items in which you may not be responsible for.

2) Limit the number of credit cards you take out:

To keep your credit score in top shape limit the number of credit cards you apply for in a short period of time. Every application for credit cards that you apply for will show up on your credit report. Experts warn that applying for credit that you don’t need is something credit reporting agencies look for in determining your overall score.

3) The lower the debt, the better off you are:

Some consumers believe that debt must be accrued in order to have a good credit score. Experts say that isn’t the case. In any regard, the lower your debt is, the better off your chances are at achieving a higher credit score.

4) Avoid waiting to pay your bills all at once:

Experts insist on “micropayments” on bills throughout the month in order to lower your debt quicker. This can help your debt utilization ratio, which is calculated by dividing the debt on your credit cards by the overall credit limit. Experts estimate that number should be around 33%.

5) Higher credit limits, the better:

To improve your debt utilization ratio you can ask your credit issuers for a credit line increase. This gives you a higher ceiling on your credit cards and may help you get your ratio closer to that magic number of 33%.

6) Active cards are your friend:

Lastly, having active cards are important to your overall credit score. Experts suggest using the cards that you have, even if it’s on small things like trips to the coffee shop or gas station, in order for those purchases to be reported. The goal here is to show the credit reporting agencies that you can use credit responsibly. Closing cards that you don’t use is not suggested because that will bring your debt ratio down, thus possibly lowering your credit score. Credit history is important to those reporting agencies so keeping an account active is in your best interest.

The difference has been noted before by other researchers, but the trend shows little sign of stopping, and some believe that the disparity even grew worse during the recent recession.

The study did not mention whether women tend to file for Chapter 7 bankruptcy at a higher rate than men, but this would come as little surprise because Chapter 7 is one of the most powerful methods of credit card debt relief.

Women Pay More for Credit Cards Than Their Male Counterparts

According to a recent study administered by the FINRA Foundation, women routinely pay more for credit cards than men, and women also have more difficulty in paying off their credit debts:

• Credit card balances. The study discovered that women are five percentage points more likely than men to carry a credit card balance. And the researchers accounted for differences in income level and education when making these conclusions.
• Paying Late fees. In addition, women are six percent more likely than men to be charged a late fee after failing to make a payment on time.
• Making minimum payments. Despite researcher’s discovery than men and women have the same levels of financial literacy, women were still four percent more likely to only make the minimum payment on their credit cards, which, if done over an extended period of time, can cause high levels of credit card debt and eventually lead to Chapter 7 bankruptcy.

Reasons for the Credit Card Disparity

Because the researchers accounted for differences in education and income, experts are somewhat flummoxed by the results of the study.

The results tend to support the stereotype that women shop more than men, but this isn’t necessarily true, nor does it fully explain the disparity in factors like women’s increased likelihood of being charged late fees.

In fact, the differences may reveal subtle, but profound, cultural biases in the ways that credit card companies deal with male and female customers.

Of course, women should not be overly discouraged. The president of the FINRA Foundation, Gerri Walsh said that “having a high level of financial appears to pay off,” suggesting that women who play closer attention to their finances can beat the trend.

In Walsh’s words, “[b]ecoming more financially literate is a great step that any woman can take to keep more of her hard-earned money in her pocket.”

Hospice care for elderly patients can cost hundreds of thousands of dollars, and many families are understandably nervous about racking up huge medical debts for hospice care at the end of an elderly person’s life.

Fortunately, though, Medicare can help cover some of the costs of hospice care, according to a recent report from Patch.com.

Hospice Care may be Covered by Medicare for Eligible Patients

Hospice care can provide extremely valuable care for very ill patients at the end of their lives, but it can cost a fortune. Eligibility requirements for Medicare-funded hospice services include:

• Medicare Part A eligibility. First, potential patients must be eligible for Medicare Part A, which is basically hospital insurance. In addition, patients must be terminally ill and their doctors must provide proof that they have less than six months to live, if the illness behaves in a predictable manner.
• Approved hospice program. Potential patients must also sign a statement that formalizes their commitment to hospice care, rather than other treatment for their terminal illness, and they must receive care from a hospice program that has been approved by Medicare.
• Benefits of hospice care. If a patient qualifies, he or she will receive the benefits of hospice care, which usually includes a doctor and nurse who are on call 24 hours a day, seven days of week. In addition, a patient’s doctor will work closely with a family to design a medical care program that meets the family’s specific needs.

Hospice Benefits Provided by Medicare

If a patient qualifies for hospice care, Medicare will help pay for a consultation with a hospice medical director, as well as doctor and nurse services, medical equipment, and other basic health care services.

There is no deductible when Medicare pays for hospice care, and patients will pay no more than five dollars for each prescription drug, according to sources.

In addition, patients will be able to receive inpatient medical care while in the hospice, and they will only have to cover five percent of the amount that is approved by Medicare.

So, for families who are worried about having to file for bankruptcy to cover the costs of medical treatment, Medicare might prove to be a tremendous financial aid for end-of-life care.

In addition, a recent survey discovered that college students are shockingly unaware of the dangers of taking out too much credit debt, and also display a disturbing lack of knowledge about how credit cards actually work.

And if the amount of credit card debt among college students continues to rise, states may soon see a dramatic increase in the number of young people filing for Chapter 7 bankruptcy.

College Students Have Alarming Ignorance About Credit Card Use

According to a recent survey published by five colleges in conjunction with Financial Literacy Month, financial literacy on college campuses seems to be dangerously lacking:

• Widespread use. First, the use of credit cards is ubiquitous among college campuses. Sources indicate that 70 percent of college students in the United States possess some type of credit card.
• Widespread ignorance. Now, the unsettling news. According to the survey, of these millions of students who hold credit cards, only one out of every six student knows the interest rate for late payments on his or her credit card. In addition, 75 percent of students do not know how large their late payment charges are, and a staggering 70 percent do not know how much they will be charged if they go over their balance limit.
• Consequences. Thanks in large part to the lack of awareness about interest rates and balance limits, more than 90 percent of college students who use credit cards are carrying some amount of credit card debt each month, according to the survey cited in Fox Business.

The numbers are frightening, and the authors of the survey did not mince words when describing the nature of the results.

According to the authors, the students surveyed “lacked even basic financial knowledge of a common credit tool” that many of them use every day for basic purchases.

Placing their tongues firmly in the cheeks, the study’s authors also wryly noted that “[t]here is no way to describe these results as a success in education of financial literacy.”

To add further mystery to the study, a large majority of the students who took the survey were business majors, who are, at least in theory, the most financially savvy students on campus.

One wonders just how bad the numbers may have been if the survey had focused on students outside the business field.

According to CNN, in 2009 congress passed laws that limited fees credit card companies can put on customers known as the Credit Card Act.

As a part of those laws Congress had stated that no more than a 25% fee of the credit limit can be placed on any account for first year credit card fees.

First Premier Bank, a credit card issuer, had sued after the bill was signed into law.

In 2011, a federal court judge in South Dakota acknowledged the bank’s claims that the new laws don’t start until the customer has already opened the credit card account. This can allow credit card issuers to charge exuberant fees to open the actual account without being in danger of breaching any cap that has been set, According to CNN.

Consumer agencies such as U.S. Public Interest Research Group, Consumer Actions, and the National Council of La Raza have condemned the ruling. According to Reuters, the groups claim the Consumer Financial Protection Bureau is backing down from protecting consumers.

The consumer agencies argue that the fees are aimed at low-income borrowers who are only given a credit limit of a few hundred dollars.

Credit Across The Pond

In the United Kingdom, a judge recently ruled that Harrods, a retail department store, could not collect a debt on a store credit card citing that the store’s process in issuing the card was not properly handled.

According to BBC News, Harrods had issued the card holder a store card and then later upgraded it to an actual credit card without the consent of the card holder.

This measure mirrors the tactics employed by credit card companies in the United States. The 2009 Credit Card Act was partially implemented in order to curb credit card companies who push the limits of the law in order to collect fees on their customers and circumvent policies in order to make a profit.

GE Capital, the company that ran the Harrods store card business at that time, argued in court that the company did not need to issue new terms of agreement when issuing the new credit card.

In 2009, GE Capital’s card business was sold to the Spanish bank Santander.

The judge’s ruling may open the opportunity up for other card users in default to argue that their store credit cards were issued improperly. However, the ruling does not set an official precedent in the United Kingdom courts.

Global Uncertainty

Citigroup, one of the United State’s largest banks and credit issuer, has seen its quarterly profits slump 2% amidst the uncertainty surrounding the global economy, according BBC News.

In an economy where even the mighty have fallen, it is certain that institutions will do whatever it takes to turn a profit. This may include issuing fees to existing customers or implementing new fees to new customers.

The recent ruling against the 2009 Credit Card Act has caused consumer watchdog agencies to warn of the possible lengths these issuing companies might possible go to in order to make themselves profitable once again.

In light of recent economic events, however, Medicare’s future may be in limbo, according to a report from the San Francisco Chronicle.

A rapidly aging population, and a slowly growing workforce, could combine to place a serious burden on younger generations’ ability to secure Medicare benefits. This could lead to a marked increase in medical debt for younger Americans.

The Uncertain Future of Medicare

According to the San Francisco Chronicle, Medicare faces a very uncertain future:

• The program. In brief, Medicare offers medical insurance to certain people who have a lot of medical expenses, or are unable to afford basic coverage. Medicare does not pay for all of a person’s medical care, but it does offer significant aid, often paying for more than 80 percent of a person’s medical bills. Medicare offers health coverage for millions of Americans who otherwise could not afford treatment.
• The problem. As the Baby Boom generation reaches retirement age, a rapid influx of retirees are entering the Medicare program. Since Medicare is funded by working taxpayers, younger generations will soon have to start footing the bill for retirees’ health insurance. This has always been the case, but the rising number of retirees in relation to younger workers threatens to sap Medicare’s funding sources.
• The possibilities. If the Medicare program was eventually closed, the San Francisco Chronicle predicts that elderly and low-income people could suffer tremendously. These at-risk groups would have to find health insurance with major private insurers, but their applications could be turned down due to pre-existing conditions.
• Collateral damage. In addition to reduced insurance for the poor and elderly, the death of Medicare could lead to skyrocketing medical costs for other people seeking medical aid, as more and more medical service for uninsured people goes unpaid.

The death of Medicare is not imminent, but it is a realistic possibility. And Congress’s inability to address the matter in a productive, bipartisan manner only serves to kick the problem down the road.

In a world without Medicare, or a suitable replacement, medical bills Chapter 7 bankruptcy would likely skyrocket, and more elderly and low-income Americans would likely turn to Chapter 7 bankruptcy to help eliminate their medical debt.

But while Chapter 7 is a powerful tool to combat high medical bills, it is certainly not a replacement for a fully functioning health insurance system.