(CNN) This church will pay off about $4 million in medical debt in its community. Here’s how it happened

After Northview revealed their plan to help relieve medical debt in their community, even more people reached out to donate — something that Executive Pastor Jason Pongratz told CNN had never happened before.
The church has now raised $30,000, the most in church history. But how do you take that and alleviate a few million dollars in debt?

That’s where RIP Medical Debt comes in. RIP Medical Debt was founded in 2014, and they’ve helped more than 250,000 people get out of debt, basically by buying back debt for pennies on the dollar. Yes, you can buy debt.

CEO Craig Antico broke it down like this: When people don’t pay debt, after a while it gets placed with collection agencies, and the debt accumulates. RIP is able to buy the debt at a reduced rate from hospitals, doctors, and even investors — who typically purchase debt at reduced rates, say 15%, and will require the debtor to pay them maybe 30%, turning a profit for the investor.

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Posted in Parish Ministry, Religion & Culture, Stewardship