Californians with medical debt will no longer have to worry about unpaid medical bills showing up on their credit reports under legislation signed Tuesday by Gov. Gavin Newsom, adding the nation's most populous state to a growing effort to protect consumers squeezed by unaffordable medical bills.
KFF Health NewsSep 24 2024 Californians with medical debt will no longer have to worry about unpaid medical bills showing up on their credit reports under legislation signed Tuesday by Gov. Gavin Newsom, adding the nation's most populous state to a growing effort to protect consumers squeezed by unaffordable medical bills.
When California's new law goes into effect in January, it will extend these protections to credit reports used for employment and tenant screening, Wu said. This is in addition to the proposed federal ban on reporting to credit agencies that inform credit card companies and mortgage lenders. Kelly Parsons-O'Brien, legislative chair of the California Association of Collectors, which represents collection agencies, said the exemptions were essential because medical credit card holders can buy nonmedical items and medical loans can be refinanced with nonmedical debt, making it "impossible" for creditors to know what's actually a medical charge.
About 4 in 10 Californians report carrying some type of medical debt, which disproportionately affects low-income, Black, and Latino patients, according to the California Health Care Foundation. When Sacramento resident Sonia Hayden and her boyfriend applied for a home loan last year, she discovered her credit score had dropped about a hundred points. It had been downgraded because of an approximately $200 emergency room charge after a car accident years ago.
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
California governor goes on AI law signing spree, but demurs on the big oneNewsom still worried about SB 1047's 'chilling effect' on AI industry tax dollar revenue innovation in the state
Read more »
California Governor Signs Law Banning All Plastic Shopping Bags at Grocery StoresA new California law signed Sunday by Gov. Gavin Newsom bans all plastic shopping bags starting in 2026.
Read more »
Irish League LIVE score updates from Tuesday night's gamesThere is a full programme of Premiership games on Tuesday night including Cliftonville vs Linfield
Read more »
EuroMillions results live: Lottery numbers for Tuesday £54m drawResults checker for tonight's EuroMillions lotto draw on Tuesday, September 24
Read more »
– Best football bets and expert advice for Tuesday 3 September...
Read more »
Here are some of the key takeaways from Tuesday's Massachusetts primarySeveral Massachusetts office-holders lost their reelection bids at the primary stage Tuesday, an unusual trend in a state where incumbents typically enjoy major…
Read more »