Portland, OR — Today, the Oregon Senate and House of Representatives reached concurrence on Senate Bill 605, which prohibits credit reporting on medical debt, and gives those facing illness or injury a fighting chance to get healthy, cover their bills, and get back on their feet. The bill now moves to Governor Tina Kotek's office to be signed into law.

"People dealing with health challenges, and the accompanying bills, shouldn't face unnecessary barriers to economic opportunities, such as getting a job or finding housing," says Chris Coughlin, Policy Director at Oregon Consumer Justice. "This law addresses the flawed practice of credit reporting on medical debt, which is often inaccurate and does not reflect an individual's financial responsibility."

Once enacted, this law will: 

• Remove existing medical debt from credit reports.
• Prohibit debt collectors, hospitals, and other reporting entities from reporting medical debt to credit reporting agencies.
• Ensure the credit reporting ban includes credit reports used for employment and tenant screening.
• Prevent credit reporting on targeted health care credit cards.

High medical costs have forced nearly one in three Oregonians to incur medical debt in the last two years, causing cascading financial harms long after bills are paid. As the federal administration dismantles protections from the Consumer Financial Protection Bureau, this legislation offers critical relief for those in our state looking to recover physically and financially from unplanned medical costs. 

"This bill protects Oregon patients from the lasting impacts of medical debt," said Adam Zarrin, regional director, state government affairs, west, at The Leukemia & Lymphoma Society. "Too many people fall into debt just because healthcare has become unaffordable. Getting sick or facing a cancer diagnosis shouldn't prevent you from owning a home or starting a business. We urge Governor Kotek to act now and sign this bill so patients can move forward and focus on what really matters."

Oregon Consumer Justice is proud to have championed Senate Bill 605 as one of our legislative priorities this session alongside the Consumer Alliance of Oregon, The Leukemia & Lymphoma Society, and with the invaluable support of the bill's chief sponsors, Senator Wlnsvey Campos and Representative Nathan Sosa.