Snapchat CEO and wife erase medical debt for thousands of Californians — see if you’re eligible

Hundreds of thousands of Californians are about to get an unexpected financial lifeline after Snapchat CEO Evan Spiegel and his wife, supermodel Miranda Kerr, helped erase a staggering $550 million in medical debt.

The couple made a multimillion-dollar donation to Undue Medical Debt, a nonprofit that purchases unpaid medical bills in bulk from hospitals, physician groups and collection agencies at a steep discount before canceling the debt for qualifying patients.

Beginning in mid-July, more than 261,000 Californians whose balances were eliminated will reportedly receive letters notifying them that their medical debt has been forgiven.

“When someone you love is sick, all you want to do is focus on helping them get better,” Kerr, founder of skincare company KORA Organics, said in a video with Spiegel. “That’s why we wanted to support this effort and help relieve medical debt, so families can focus on caring for their loved ones and really supporting their healing.”

The nonprofit and the couple did not reveal the size of the donation, but Undue Medical Debt says every $10 donated typically eliminates about $1,000 in medical debt because it buys bundled debt portfolios for pennies on the dollar.

People cannot apply for the program because the organization acquires large batches of debt at once.

Those whose balances are forgiven either earn at or below 400% of the federal poverty level or have medical debt exceeding 5% of their annual income, according to the nonprofit.

The relief comes as many Americans continue to grapple with rising healthcare bills and the high cost of living.

California remains one of the nation’s most expensive states, with soaring housing and energy costs fueling broader debates over wealth inequality and the role of billionaires in addressing financial hardship.

Undue Medical Debt President and CEO Allison Sesso said one in four adults in the United States currently carries medical debt.

“It’s a growing crisis undermining healthcare access, economic wellbeing and mental health and we’re so grateful that Evan Spiegel and Miranda Kerr share our belief that no one should go bankrupt because of a cancer diagnosis and no family should have to choose between insulin and groceries,” Sesso said.

The largest share of the debt relief went to San Diego County, where roughly $99 million in medical debt was wiped away for 40,369 people. Los Angeles County residents saw another $26.7 million erased, benefiting 17,466 people.

The latest donation adds to a growing list of philanthropic efforts by Spiegel and Kerr. In 2022, the pair paid off the student loans for the graduating class at Otis College of Art and Design.

Following the devastating January 2025 Los Angeles County wildfires, Spiegel, who grew up in Pacific Palisades and lost his childhood home in the disaster, joined Snap and Snapchat co-founder Bobby Murphy in donating $5 million in immediate relief.

Later that year, Spiegel also joined business leaders and philanthropists to launch the Department of Angels, an initiative supporting the region’s wildfire recovery. The California Community Foundation, Snap, Spiegel and Murphy committed $10 million to help launch the effort.

About 200,000 people lost their homes in the January 2025 fires.

“California has given so much to my family and me, and I care deeply about the wellbeing of our communities,” Spiegel said in a statement. “At a time when many families are already facing rising costs across nearly every aspect of daily life, an unexpected medical bill can create financial stress that lasts for years.”

Undue Medical Debt said it has now eliminated more than $40 billion in medical debt across all 50 states.

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