The Credit Bureaus Change Their Policy On Medical Collections

Equifax, Experian, and TransUnion announced some major changes on how and when medical collections can be reported.

Starting on July 1, 2022 all paid medical collections will be removed from a consumer’s credit profile. This is a big victory for consumer advocates, as paid collections can often continue to negatively impact a consumer’s credit health long after it’s been paid and resolved. In addition, the credit bureaus are expanding the waiting period from 6 months to 1 year before a medical collection can be placed on a credit report. This provides more time for consumers to work with their insurance company or medical provider to find a solution to the outstanding debt.

Starting in 2023, the credit bureaus intend on only reporting medical collections over $500 on a credit report. This will help curb the impact of surprise medical debts that hinder consumer credit health. Read the full statement here.