Medical Debt Credit Reporting Changes

Here’s what you need to know - and what it means for you.

Medical Debt
​The three major national credit reporting agencies — Equifax, Experian, and TransUnion — announced major changes to the reporting of medical collection debt. These changes will erase nearly 70% of medical collection debt from consumer credit reports.
Specifically:

• Paid medical collection debt will no longer be included on consumer credit reports.
• Effective July 1, 2022, new accounts sent to collections that are less than $500, will not be reported.
• The time frame before unpaid medical collection debt would appear on a credit report will be increased from 6 months to one year.
• This change provides consumers with more time to work with insurance and healthcare providers to address their medical debt before it’s reported on their credit report.

In the first half of 2023, Equifax, Experian, and TransUnion will also no longer include medical collection debt under at least $500 on credit reports. This relates to billions of dollars of medical debt being removed from credit reports.