[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 3351 Introduced in Senate (IS)]
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115th CONGRESS
2d Session
S. 3351
To amend the Fair Credit Reporting Act to institute a 180-day waiting
period before medical debt will be reported on a consumer's credit
report and to remove paid-off and settled medical debts from credit
reports that have been fully paid or settled, to amend the Fair Debt
Collection Practices Act to provide a timetable for verification of
medical debt and to increase the efficiency of credit markets with more
perfect information, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
August 16, 2018
Mr. Merkley (for himself, Mr. Blumenthal, Mrs. Feinstein, Ms. Warren,
Mr. Durbin, Mr. Menendez, and Ms. Hassan) introduced the following
bill; which was read twice and referred to the Committee on Banking,
Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To amend the Fair Credit Reporting Act to institute a 180-day waiting
period before medical debt will be reported on a consumer's credit
report and to remove paid-off and settled medical debts from credit
reports that have been fully paid or settled, to amend the Fair Debt
Collection Practices Act to provide a timetable for verification of
medical debt and to increase the efficiency of credit markets with more
perfect information, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Medical Debt Relief Act of 2018''.
SEC. 2. AMENDMENTS TO FAIR CREDIT REPORTING ACT.
(a) Medical Debt Defined.--
(1) In general.--Section 603 of the Fair Credit Reporting
Act (15 U.S.C. 1681a) is amended by adding at the end the
following:
``(z) Medical Debt.--The term `medical debt' means a debt described
in section 604(g)(1)(C).''.
(2) Technical and conforming amendments.--On the date
described in section 302(e) of the Economic Growth, Regulatory
Relief, and Consumer Protection Act (Public Law 115-174),
subsection (z) of section 603 of the Fair Credit Reporting Act
(15 U.S.C. 1681a), as added by paragraph (1), shall be
redesignated as subsection (bb) and moved to appear after
subsection (aa).
(b) Exclusion for Paid or Settled Medical Debt.--
(1) In general.--Section 605(a) of the Fair Credit
Reporting Act (15 U.S.C. 1681c(a)) is amended by adding at the
end the following:
``(7) Any information relating to a medical debt if the
date on which the debt was placed for collection, charged to
profit or loss, or subjected to any similar action antedates
the report by less than 180 days.
``(8) Any information relating to a fully paid or settled
medical debt that had been characterized as delinquent, charged
off, or in collection which, from the date of payment or
settlement, antedates the report by more than 45 days.''.
(2) Technical and conforming amendments.--On the date
described in section 302(e) of the Economic Growth, Regulatory
Relief, and Consumer Protection Act (Public Law 115-174),
paragraphs (7) and (8) of section 605(a) of the Fair Credit
Reporting Act (15 U.S.C. 1681c(a)), as added by paragraph (1)
of this subsection, shall be redesignated as paragraphs (9) and
(10), respectively, and moved to appear after paragraph (8).
SEC. 3. AMENDMENTS TO THE FAIR DEBT COLLECTION PRACTICES ACT.
(a) In General.--Section 809 of the Fair Debt Collection Practices
Act (15 U.S.C. 1692g) is amended by adding at the end the following:
``(f) Additional Notice Requirements for Medical Debt.--
``(1) Definitions.--In this subsection:
``(A) Consumer reporting agency.--The term
`consumer reporting agency' has the meaning given the
term in section 603(f) of the Fair Credit Reporting
Act.
``(B) Medical debt.--The term `medical debt' means
a debt arising from the receipt of medical services,
products, or devices.
``(2) Notice about credit reporting.--Before furnishing
information regarding a medical debt of a consumer to a
consumer reporting agency, the person furnishing the
information shall send a statement to the consumer that
includes the following:
``(A) A notification that the medical debt may not
be reported to a consumer reporting agency until the
end of the 180-day period beginning on the date on
which the person sends the statement.
``(B) The specific date that is the end of the 180-
day period beginning on the date on which the person
sends the statement.
``(C) A notification that, if the debt is settled
or paid by the consumer or an insurance company during
the 180-day period beginning on the date on which the
person sends the statement--
``(i) the debt may not be reported to a
consumer reporting agency; and
``(ii) the consumer may, during that 180-
day period--
``(I) communicate with an insurance
company to determine coverage for the
debt; or
``(II) apply for financial
assistance.
``(3) No reporting during 180-day period.--
``(A) In general.--During the 180-day period
described in paragraph (2), no person may communicate
with, or report any information to, any consumer
reporting agency regarding a debt described in that
paragraph.
``(B) Rule of construction.--Nothing in this
paragraph may be construed to affect when a debt
collector may engage in activities to collect or
attempt to collect any debt owed or due or asserted to
be owed.
``(4) Reporting after the 180-day period.--Nothing in this
subsection shall prohibit a person from communicating with, or
reporting any information to, a consumer reporting agency
regarding a medical debt of a consumer after the end of the
180-day period described in paragraph (2) with respect to the
debt.''.
SEC. 4. EFFECTIVE DATE.
Except as otherwise expressly provided, the amendments made by this
Act shall take effect on the date that is 180 days after the date of
enactment of this Act.
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