The three credit reporting companies (Equifax, Experian & TransUnion) recently announced they will remove any paid medical debts from their consumer credit reports effective July 1, 2022. In addition, any unpaid medical debt won’t appear on credit reports for one year – up from 6 months – in order to give consumers time to work with providers and insurers to address the bill. As of 2023, the credit reporting firms also won’t include medical debt under $500 on credit reports.
These changes will significantly reduce the “threat” of collection action against patients, and should serve as an impetus for all medical practices to update their policies and to include securing pre-approved payment agreements with patients whenever possible.
