State medical debt rules
Medical Debt Rules by State
Last updated: June 2026
State rules on medical debt vary widely. This guide summarizes three things for each state: whether the state limits how medical debt is reported to credit bureaus, whether wages can be garnished to collect a medical bill, and the legal deadline a provider or collector generally has to sue you for an ordinary medical bill.
What protects you in every state
- The three nationwide credit bureaus follow a voluntary policy: paid medical collections are removed, medical collections under $500 are excluded, and unpaid medical debt is generally not reported until it is more than one year delinquent.
- Under the Fair Credit Reporting Act, most collection accounts age off a credit report after seven years. That credit-reporting clock is separate from a state's deadline to sue.
- Under federal law, the most a creditor can usually garnish is the lesser of 25% of your disposable earnings or the amount above 30 times the federal minimum wage (about $217.50 per week). States can protect more, but not less.
A deadline to sue passing does not erase the debt or stop collection calls and credit reporting, which follow separate rules. It can be a defense if you are sued after the deadline.
Pick your state for details
Select a state to see how it handles medical-debt credit reporting, wage garnishment, and the deadline to sue for an ordinary medical bill.
Official sources
- CFPB medical-debt credit-reporting rule status
- NCLC state medical-debt credit-reporting update
- Commonwealth Fund 2025 state medical-debt protections report
- Three-bureau voluntary medical-collections policy
- Federal wage-garnishment limit, 15 U.S.C. § 1673
This page is consumer education, not legal advice. Medical-debt rules and limitation periods change quickly and can depend on how an account is classified. Verify the primary law for your state or talk to a local legal aid office before acting.