This bill would protect patients with medical debt by limiting how hospitals and collectors can pursue repayment. The bill would cap interest and late fees at 3% per year and prohibit these charges for at least 90 days after a bill is due. It would also ban aggressive collection actions—like foreclosure, wage garnishment, liens, and arrest—especially for those eligible for financial assistance. Additionally, collectors must wait at least 120 days before taking legal action and provide clear notice with information about financial help. Any overpayments must be refunded within 60 days, and debt buyers must follow these same protections. This bill depends on the passage of SB 701 to become law.
