New York Gov. Kathy Hochul signed a bill into law that prohibits hospitals, healthcare professionals and ambulances from reporting a person's medical debt to credit agencies.
The new law is designed to make it easier for people to get jobs, secure credit, afford rent, pay for their children's education and build long-term wealth, according to a Dec. 13 news release from the governor's office.
A March 2023 study from the Urban Institute found that 740,000 New Yorkers have medical debt on their credit reports, with people of color twice as likely to have medical debt referred to a credit bureau and low-income people three times more likely, according to the release.