On June 26, the governor of Rhode Island signed into law S0169, which amends the state’s deceptive trade practices laws to prohibit credit reporting agencies from reporting a consumer’s medical debt. The law also bars filing executions and attachments against a defendant’s residence for judgments related to medical debt. The legislation further provides that no garnishment of wages may be used to collect medical debts. The act will go into effect on January 1, 2026.
On June 26, the governor of Rhode Island also signed into law S0172 which caps interest rates on medical debt. The act amends state law to limit interest on medical debt to the weekly average one-year constant maturity Treasury yield, but not less than 1.5 percent per year or more than 4 percent per year, as published by the Fed. The interest rate cap applies only to new debt incurred after the act’s effective date, and the legislation took effect upon passage. For purposes of the act, “medical debt” is defined as “an obligation of a consumer to pay an amount for the receipt of healthcare services, products, or devices owed to a healthcare facility or a healthcare professional.”
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