Jeff Bezos’ ex-wife MacKenzie Scott, who sold half of her Amazon stake, helped erase $40 billion in medical debt with $100 million in donations

MacKenzie Scott, the former wife of Amazon founder Jeff Bezos, has built one of the largest philanthropic legacies in America. But one of her most striking efforts has focused on a problem that affects millions of households: medical debt.

Through donations of more than $100 million since 2020 to Undue Medical Debt, formerly known as RIP Medical Debt, Scott helped turn the nonprofit into a national force. The organization has since abolished more than $40 billion in medical debt across all 50 states, providing relief to millions of Americans.

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How MacKenzie Scott helped erase $40 billion in medical debt

The idea behind Undue Medical Debt is surprisingly straightforward. Hospitals and physician groups often sell unpaid or uncollectible medical bills in bulk portfolios at steep discounts. Normally, debt collectors purchase those portfolios and attempt to recover the money.

Undue Medical Debt takes a different approach. Using charitable donations, the nonprofit buys medical debt for pennies on the dollar and then abolishes the debt rather than collecting it.

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The result is an extraordinary multiplier effect. According to the report, every $10 donated can erase roughly $1,000 in medical debt.

That model allowed Scott's donations to have an impact far greater than their face value, helping millions of people escape medical bills they may otherwise have struggled to repay.

MacKenzie Scott’s philanthropy extends far beyond medical debt

Medical debt relief represents only one part of Scott's broader philanthropic giving. Following her divorce from Bezos, Scott received a 4% stake in Amazon, which she has gradually sold down. She has since given away more than $26 billion to over 2,500 organizations.

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Her donations have supported historically Black colleges and universities, environmental organizations, economic equity groups and other nonprofits.

Fortune estimates Scott's current net worth at approximately $33.8 billion, meaning she remains one of America's wealthiest individuals despite giving away billions of dollars.

Other billionaires have adopted the medical debt model

Scott's approach has also attracted other wealthy donors. Snap co-founder Evan Spiegel and his wife, Miranda Kerr, recently donated millions to Undue Medical Debt, helping erase $550 million in medical bills for 261,000 Californians.

Other large-scale efforts have followed. Hedge fund billionaire Daniel Och's family foundation helped clear $264 million in Miami-Dade County, while public funds in New York City and Cook County, Illinois, have been used to eliminate hundreds of millions of dollars in medical debt.

The largest single transaction came in April 2025, when Undue Medical Debt retired a $30 billion portfolio, eliminating obligations for about 20 million people.

Why medical debt relief still has limits

Despite its enormous reach, philanthropy cannot completely solve America's medical debt problem. A Consumer Financial Protection Bureau rule that would have removed medical debt from the credit reports of roughly 15 million Americans was vacated in July 2025 after a federal judge ruled that the CFPB had exceeded its authority.

No federal medical debt cancellation legislation has advanced through Congress since.

Scott's philanthropy demonstrates how private giving can provide immediate relief. But the scale of America's medical debt means that long-term change may ultimately require systemic reforms that address why medical bills become unmanageable in the first place.