SPRINGFIELD – Consumers will now have protection against adverse medical debt reporting, thanks to a new law championed by State Senator Steve Stadelman.

“We have taken a crucial step to protect our residents from the undue hardships caused by medical debt,” said Stadelman (D-Rockford). “This is a positive step toward ensuring no one will have to suffer the long-term financial consequences of medical emergencies that are beyond their control. This law is about fairness and compassion, and it reflects our commitment to standing up for the rights of others.”

The law aims to address the growing concern over the impact of medical debt on consumers’ credit scores. Medical debt, often incurred through no fault of the consumer, has been a leading cause of financial distress, disproportionately affecting vulnerable populations and hindering their access to credit and essential services.

Senate Bill 2933 prohibits a consumer reporting agency from making or furnishing adverse information about a consumer that the agency knows or should know relates to medical debt.

“We are recognizing the unpredictable nature of medical emergencies,” said Stadelman. “No one plans to get sick or injured, and the financial burden that follows should not ruin lives. This law helps level the playing field and provides much-needed relief to countless families.”

Senate Bill 2933 was signed into law Tuesday and takes effect Jan. 1, 2025.