A church in California says it paid $50,000 to wipe out more than $5 million in medical debt for 5,555 struggling families in the LA area

Christian Assembly Church in Eagle Rock, California, raised $50,000 to wipe out more than $5 million in medical debt through the organization RIP Medical Debt.

RIP Medical Debt works with private foundations and donors to help people pay off debt for pennies on the dollar.

Tom Hughes, the church's co-pastor, said that the church's $50,000 donation will help pay off $5.2 million in medical debt.

All of the families whose debt is being paid off live in the Los Angeles area.

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A church in Southern California says it raised $50,000 to wipe out more than $5 million in medical debt through the organization RIP Medical Debt.

Christian Assembly Church in Eagle Rock, California, said 5,500 households would benefit from their donation.

The church donated $50,000 to Rip Medical Debt, which helps organizations cover debt from medical providers by buying debt portfolios on a secondary market for pennies on the dollar.

"Because of the generosity of the people at Christian Assembly Church, we are able to give a Christmas gift to the people of Los Angeles, no strings attached,'' Tom Hughes, the church's co-pastor, said in a video about the gift.

Hughes said that his congregation had raised $50,000 over the course of 2019, but the members were unaware of how it would be used until now.

The church said that thanks to RIP Medical Debt, it will pay of $5.2 million in medical debt with the donation. The payoff will help families in low-income communities in Los Angeles County.

Hughes said that the church hopes to also work with credit agencies to repair credit scores for families who were affected by unpaid bills.

Families who are affected are expected to receive letters this week about their debt being wiped out.

Hughes said that only the billing companies will know exactly whose debt was paid off, but the each of the 28 neighborhoods where debt was paid off is home to more than 15 active church members.

"As they recover from their illness, it will help them get back on their feet and avoid homelessness," Hughes said.