Bill > SB156

This bill amends Delaware's Medical Debt Protection Act to comprehensively prohibit the reporting of medical debt to consumer reporting agencies. The bill expands the purpose of the law to explicitly state that medical debt should not be used when making decisions about an individual's credit, employment, or housing, recognizing that medical debt can be burdensome and unexpected regardless of a person's financial situation. It introduces a new definition of "medical debt" that includes bills owed to healthcare service providers for medical products or services, and clarifies that this includes both past due and already paid medical bills (with some exceptions for credit card charges). The legislation establishes a complete ban on reporting medical debt to consumer reporting agencies, preventing both medical creditors and debt collectors from communicating medical debt information to credit reporting agencies, and prohibiting consumer reporting agencies from including medical debt information in consumer reports. Additionally, the bill modifies existing provisions related to medical debt collection, such as restrictions on selling debt and requirements for debt buyers. The act will take effect 90 days after its enactment, and represents part of a broader national trend of states seeking to protect consumers from the negative credit impacts of medical debt.

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https://legis.delaware.gov/BillDetail?LegislationId=142351