Update: As of 07/22/24, NJ medical debt also cannot be reported on consumer credit report. 

Gov Hochul just signed into law a new bill called the Fair Medical Debt Reporting Act.

This new bill forbids medical debt from being reported on consumers credit reports!

With the new bill, it does not make a difference how many days have passed since the bill was due or the amount of medical debt you owe. Medical collections can no longer be reported at all on all consumer credit reports!

Is this only for NY residents?

Yes. This is a state law not a federal law, therefore it’s only for NY state residents.

When is the bill effective?

The bill is effective immediately.

Is the bill also for past medical debt already on my credit report?

Yes. The credit bureaus need to remove the debt from your credit report.

Does it make a difference how much I owe in medical debt?

No. There is no limit. 

Are ambulance services also covered?

Yes. Ambulance service collections can also not be reported on your personal credit report.

If I do not live in NY, what are the rules regarding medical debt?

For those who do not live in NY, medical debt can be reported on your credit report with the following conditions:

• The medical debt is one year or more passed due
• The medical bill is $500 or more
• The medical bill is not paid up (once it’s paid it needs to be removed)