Medical debt relief and exclusion of medical debt from credit reports for Vermont residents.

This bill proposes to direct the State Treasurer to contract with an entity to acquire and abolish certain medical debts for Vermonters. To be eligible, debtors must be Vermont residents with a household income at or below 400 percent of the federal poverty level or who owe medical debt equal to five percent or more of their household income. The bill also prohibits credit reporting agencies from reporting or maintaining information on Vermonters’ medical debt and prohibits health care providers from reporting medical debt to credit reporting agencies.

Medical debt relief and exclusion of medical debt from credit reports for Vermont residents.

This bill proposes to direct the State Treasurer to contract with an entity to acquire and abolish certain medical debts for Vermonters. To be eligible, debtors must be Vermont residents with a household income at or below 400 percent of the federal poverty level or who owe medical debt equal to five percent or more of their household income. The bill also prohibits credit reporting agencies from reporting or maintaining information on Vermonters’ medical debt and prohibits health care providers from reporting medical debt to credit reporting agencies.