New California law shields credit scores from being hurt by unpaid medical bills starting January 1.

Starting January 1, a new California law prevents health providers and debt collectors from reporting unpaid medical bills to credit agencies, protecting individuals' credit scores from being negatively impacted by medical debt. This law, similar to measures in New York and Colorado, aims to prevent higher interest rates and difficulties in securing loans or employment due to lowered credit scores. Violators can face legal action from consumers.

December 26, 2024
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