The three major credit reporting agencies- Equifax, Experian, and TransUnion- have recently made changes to rules on how medical debt can be reported on a consumer's credit report. It is important to keep in mind that many medical creditors do not report on credit reports in the first place. However, for those that do, the following new rules will apply:
- Medical collection debt that has been paid will no longer be included on consumer credit reports as of July 1, 2022.
- Previously, unpaid medical collection debt could appear on a consumer’s credit report after six months. As of July 1, 2022, it cannot appear prior to one year. The idea is to give consumers more time to work with their insurance and/or medical providers to address the debt before it appears on credit reports.
- Starting in 2023, medical debt collection accounts under at least $500 will no longer be reported or reportable on consumer credit reports.