CO HB1267

Medical creditors must notify patients 30 days before selling, assigning, transferring, or collecting on medical debt, and must verify the patient has been screened for public health insurance programs and discounted care

Expands impermissible collection actions to include wage garnishment, threats of deportation, arrest warrants, seizure of retirement accounts, and attachment of bank accounts below $30,000

Requires medical creditors to offer reasonable payment plans capped at 4% of the patient's weekly net income, with 60-day grace periods for late payments and provisions for adjusting terms based on financial circumstances

Reduces the statute of limitations for permissible extraordinary collection actions on medical debt from six years to three years

Violations of debt transfer, sale, or collection requirements entitle patients to damages of $3,000 or actual damages, whichever is greater, plus attorney fees and costs