This bill, also known as the Act to Prohibit Unfair Practices Related to the Collection of Medical Debt, aims to reform the methods by which medical debts are collected. The bill mandates that a healthcare provider cannot sell or transfer a patient’s medical debt to a debt collector for less than the original sum unless the patient has first been given a chance to settle the debt at the reduced rate. The bill defines “medical debt” as debt from healthcare services or healthcare goods, excluding veterinary services, debts charged to general credit cards, or secured loans. The bill also prevents debt collectors from making false claims regarding the legal status of documents, their affiliation to consumer reporting agencies, or the accumulation of interest and fees on the debt. Debt collectors are also prohibited from falsely suggesting that they will pursue litigation to enforce payment. The bill also regulates the circumstances under which a debt collector can charge interest or fees in relation to medical debt, or to legally enforce the payment of such debts. A debt collector must provide proof that the debtor has been notified in writing and given at least 30 days to provide evidence that their household income does not exceed 300% of the federal poverty guidelines before litigation can be pursued.