Consumer Protection for Medical Debt Collections Act

Bill 118 hr 1773, also known as the Consumer Protection for Medical Debt Collections Act, aims to provide protections for consumers facing medical debt collections. The bill was introduced in the US Congress to address the growing issue of medical debt and the aggressive tactics used by debt collectors.

Under this bill, medical debt collectors would be required to provide consumers with clear and accurate information about their rights and options for resolving their debt. This includes informing consumers about their right to dispute the debt and request verification of the debt before any collection actions are taken.

Additionally, the bill prohibits certain abusive practices by medical debt collectors, such as harassing or threatening consumers, disclosing their debt to third parties without consent, or attempting to collect debt that is not valid. Furthermore, the bill requires medical debt collectors to provide consumers with a reasonable opportunity to negotiate and settle their debt, including setting up affordable payment plans. It also prohibits the sale of medical debt to third-party debt buyers, who may engage in even more aggressive collection practices. Overall, the Consumer Protection for Medical Debt Collections Act seeks to ensure that consumers facing medical debt are treated fairly and have the necessary protections in place to prevent abusive collection practices. This bill aims to provide relief for individuals struggling with medical debt and promote transparency and fairness in the debt collection process.