Credit reporting-medical debt.
AN ACT relating to consumer protection; prohibiting the reporting of medical debt to credit reporting agencies; creating a civil penalty; providing definitions; making conforming amendments; specifying applicability; and providing for an effective date.
This bill, HB0195, aims to prevent medical debt from being reported to credit agencies. If passed, it would shield consumers' credit scores from being negatively impacted by unpaid medical bills. The bill also sets a civil penalty for credit agencies that report such debt and provides definitions and specific guidelines for its implementation.
This legislation would primarily affect consumers who have incurred medical debt but have not paid it off. By not reporting this debt to credit agencies, it would help protect their credit ratings and financial stability. However, healthcare providers might be indirectly affected as they may need to adjust their billing practices.
HB0195 was introduced on January 21, 2025, and referred to the House Labor Committee. After a committee vote on February 10, 2025, it failed to pass with a vote of 3-5-1-0-0. On March 3, 2025, the bill was officially returned from committee and marked as "Died in Committee." This means the bill has not progressed further in the legislative process for now.
