Civil procedure: foreclosure; foreclosure or garnishment of wages for medical debt; prohibit. Creates new act. TIE BAR WITH: HB 5254'25

Summary

The bill stops large hospitals and debt buyers from charging interest or late fees for the first 90 days and caps interest at 3% per year. It also bans foreclosure, wage garnishment, liens, arrests and other extreme actions for medical debts, especially for patients who qualify for financial assistance. The aim is to shield patients from aggressive debt collection while still allowing creditors to recover legitimate amounts.

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