Bill > HB257

This bill enacts the Ohio Medical Debt Fairness Act, which introduces significant protections for consumers with medical debt. The legislation primarily focuses on three key areas: limiting interest rates on medical debt, prohibiting the reporting of medical debt to consumer reporting agencies, and protecting consumers from garnishment of wages for medical debt. Specifically, the bill caps the interest rate on medical debt at 3% per annum, prevents health care providers and collection agencies from reporting medical debt to credit reporting agencies, and prohibits wage garnishment for medical debt. The law defines medical debt as an obligation to pay for health care services, products, or devices, and provides consumers with legal recourse if these provisions are violated. If a health care provider or collection agency reports medical debt to a consumer reporting agency, the consumer can file a civil action, and if successful, the court can void the medical debt and prevent further collection attempts. Additionally, consumer reporting agencies are required to remove any medical debt information from credit reports within 30 days of discovery, with potential damages of $10 per day for non-compliance. The bill aims to provide financial relief and protection for Ohio residents struggling with medical expenses by reducing the long-term financial consequences of medical debt.

Health and Social Services

https://www.legislature.ohio.gov/legislation/136/hb257