Medical Debt Relief Act of 2025

This bill would stop medical debt from showing up on your credit report. It defines “medical debt” as any debt tied to medical services, products, or devices, and then bars credit bureaus from listing any negative information about it, including debt sent to collections or charged off . It also tells the consumer watchdog agency to update its rules so lenders cannot get or use medical debt when deciding whether to give you a loan or credit card, and it must do this within one year after the bill becomes law .

In short, your medical bills would no longer hurt your credit score or be used against you when you apply for credit, once the rules are in place .

• Key points
  • Who is affected: Consumers with medical bills and the lenders who review their credit
  • What changes: Credit reports cannot include negative medical debt; lenders cannot obtain or use medical debt in credit decisions
  • When: The lending rule change must be made within one year after enactment; the credit report ban is written into the law itself