WA SB5480

Prohibits hospitals, physician groups, health care providers, and licensed collection agencies from reporting medical debt to consumer credit reporting agencies, effective July 27, 2025

Medical debt becomes void and unenforceable if a creditor or collection agency violates the prohibition on credit reporting

Expands the definition of "medical debt" to include any debt owed to medical service providers for services, products, drugs, medications, or devices (excluding cosmetic surgery), including bills not yet past due or already paid

Violations constitute unfair or deceptive acts under Washington's Consumer Protection Act (chapter 19.86 RCW) and are deemed violations of professional licensing laws for hospitals and physician groups

Consumer reporting agencies are prohibited from including medical debt in consumer reports under the amended Fair Credit Reporting Act provisions (RCW 19.182.040)