WA bill to keep medical debt off credit reports signed into law

Washingtonians’ medical debt will not be included in their credit reports, under a bill that Gov. Bob Ferguson signed into law on Tuesday.

Having medical debt can create a spiraling effect and prevent people from getting approved for car or home loans or apartment rentals. Medical debt can also cause providers to deny services to patients with outstanding bills or dissuade people from seeking care.

Senate Bill 5480, sponsored by Sen. Marcus Riccelli, D-Spokane, intends to mirror efforts at the federal level that have been thrown into question. It will prohibit collection agencies from reporting overdue medical debt to credit agencies. The bill will take effect on July 27.

In January, the Biden administration finalized a similar federal rule before President Donald Trump took office. It was set to take effect in March, but it is currently on pause by the Trump administration and faces legal challenges.

https://washingtonstatestandard.com/2025/04/22/wa-bill-to-keep-medical-debt-off-credit-reports-signed-into-law/