Medical Debt on Your Credit Report: What Is Removed and How to Dispute It
Medical debt on your credit report: paid and under-$500 medical collections are no longer reported. What the vacated CFPB rule means and how to dispute it.
The short answer
Equifax, Experian and TransUnion no longer report paid medical collections, medical collections under $500, or medical debt less than one year past due. Unpaid medical collections of $500 or more can still be reported for up to 7 years, because the CFPB rule that would have removed nearly all medical debt was vacated by a federal court in July 2025.
- Paid medical collections have not been reported by the three bureaus since July 2022, and medical collections under $500 since April 2023.
- Medical debt can't appear as a collection until it is at least one year past due.
- The CFPB's January 2025 rule banning most medical debt from credit reports was vacated by the U.S. District Court for the Eastern District of Texas on July 11, 2025, and never took effect.
- Medical bills paid with a credit card or medical credit card are reported as regular credit card debt, not medical debt, so these protections don't apply.
- A medical collection that should have been removed can be disputed for free, and the bureau has 30 days to investigate under 15 U.S.C. 1681i.
Medical debt has its own rules on credit reports, and those rules changed several times between 2022 and 2025. Some medical debt can no longer be reported at all. Some still can. This guide explains what applies in 2026, how to find medical collections that shouldn't be on your report, and how to dispute them for free.
What medical debt can and can't be reported
The three bureaus changed their policies in two stages. These rules are bureau policy and apply to all three nationwide credit reporting companies.
| Medical debt | Reported? | Since |
|---|---|---|
| Paid medical collection (any amount) | No | July 2022 |
| Less than 1 year past due | No | July 2022 (was 6 months) |
| Medical collection under $500, paid or unpaid | No | April 2023 |
| Unpaid medical collection of $500 or more, 1 year or more past due | Yes, up to 7 years | Still reported |
| Medical bill paid with a credit card or medical credit card | Yes, as a regular card account | Not covered by medical debt rules |
When the under-$500 change took effect, the bureaus said it covered about 70% of medical collection accounts on credit reports. The CFPB had earlier estimated that medical collections on credit reports totaled about $88 billion, and that even after the bureau changes, about 15 million Americans still had $49 billion in medical debt on their reports.
The CFPB medical debt rule was vacated
In January 2025, the CFPB finalized a rule that would have removed nearly all medical debt from credit reports and limited lenders' use of medical information. It never took effect. On July 11, 2025, the U.S. District Court for the Eastern District of Texas vacated the rule, holding that it exceeded the CFPB's authority under the Fair Credit Reporting Act. The CFPB, under new leadership, had joined the industry plaintiffs in asking the court to vacate it.
Then, in October 2025, the CFPB issued an interpretive rule stating that the FCRA preempts state laws that restrict medical debt on credit reports. More than a dozen states, including California, Colorado and New York, have passed such laws. Interpretive rules aren't binding on courts, and how far those state laws apply is still being argued. If you live in a state with a medical debt reporting law, check with your state attorney general's office for the current status.
The practical result for 2026: the bureau policies above are what protect you nationwide. If you see what the old CFPB rule promised (all medical debt gone), don't count on it.
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Other protections that still apply
Several rules keep medical bills from reaching your report early:
- Nonprofit hospitals must have a financial assistance policy and generally can't report you to a credit bureau until at least 120 days after the first post-discharge bill (26 CFR 1.501(r)-6). Many patients qualify for free or reduced-cost care and never ask.
- Debt collectors must send a validation notice and can't report a debt before they contact you (12 CFR 1006). You have 30 days after receiving the notice to dispute in writing (15 U.S.C. 1692g).
- The No Surprises Act protects you from most surprise out-of-network bills for emergency care and some care at in-network facilities. A surprise bill sent to collections may be disputable.
- The 7-year limit still applies to any medical collection that can be reported (15 U.S.C. 1681c).
How to keep new medical bills off your report
- Ask for an estimate before care. If you are uninsured or paying yourself, the No Surprises Act entitles you to a good faith estimate. If the final bill is at least $400 more than the estimate, you can use the federal patient-provider dispute process.
- Check every bill against your explanation of benefits. Many medical collections start as insurance claims that were denied, delayed or coded wrong.
- Ask about financial assistance and payment plans early, before the bill is sent to collections.
- Avoid putting large medical bills on a credit card unless you can pay it off, since card balances get none of the medical debt protections.
How to remove medical debt from your credit report, step by step
- Pull all three reports (day 1). Get free weekly reports at AnnualCreditReport.com. Medical collections may list a collection agency name, with the original provider shown as "medical" or by name.
- Sort each medical collection (days 1 to 3). For each one, note the balance, whether it is paid, and the date of first delinquency. Flag any that are paid, under $500, less than a year old, or more than 7 years old. Those should not be there.
- Check the bill itself (days 3 to 14). Request an itemized bill from the provider and your insurer's explanation of benefits. Look for claims that insurance should have paid, duplicate charges, services you didn't get, or bills covered by financial assistance.
- Send a validation letter if the collector contacted you recently (within 30 days of its notice). See our collections guide for a debt validation letter.
- Dispute with each bureau (week 2 to 3). Use the Equifax, Experian and TransUnion dispute pages or the letter below. State the exact reason it should be removed and attach proof.
- Wait for the investigation (30 days, up to 45). The bureau must investigate and forward your dispute to the collector (15 U.S.C. 1681i). Items that don't meet the bureau's own medical debt policy should come off.
- Review and escalate (weeks 6 to 10). Confirm the removal at each bureau. If a qualifying medical collection is still there, file a complaint with the CFPB.
Sample dispute letter for a medical collection
When medical debt can't be removed
An unpaid medical collection of $500 or more, at least a year past due, that the collector can verify and that is reported accurately can stay for up to 7 years from the date of first delinquency. Disputing it again won't change that, and no one can legally remove it early.
Your options at that point:
- Pay it. Under current bureau policy, paid medical collections are removed, which makes paying more useful here than for other collections. Get a receipt and confirm removal 30 to 45 days later.
- Negotiate first. Ask the provider or collector for a reduced amount or a payment plan, and ask whether the account can be sent back to the provider for a financial assistance review.
- Apply for financial assistance. Nonprofit hospitals must consider applications, and approval can reduce or erase the bill.
- Check the end date. If it is still there 7 years after the date of first delinquency, dispute it as outdated.
Keep in mind that medical bills put on a credit card are not protected. If you can't pay a bill right away, a provider payment plan usually protects your credit better than a card.
How medical debt affects your score
Newer scoring models already treat medical debt more lightly. FICO 9 weighs unpaid medical collections less than other collections, and FICO 9, FICO 10 and VantageScore 3.0 and 4.0 ignore paid collections. Many lenders, especially mortgage lenders, still use older FICO versions that count any reported collection. That is why removing a medical collection from the report itself matters more than paying alone under those models.
If medical collections were your only negative items, removing them can make a noticeable difference. If you also have late payments, charge-offs or high card balances, the change is usually smaller. Results vary by profile, and no one can promise a specific number.
When to get help
You can dispute medical collections yourself for free, and many people clear qualifying ones in a single round. Help may be worth it if you have several medical collections across bureaus, if collectors keep verifying accounts that should have been removed under bureau policy, or if medical debt sits alongside other negative items you also want reviewed.
Credit Saint reviews your reports at all three bureaus, flags medical collections that appear to break bureau policy or are otherwise inaccurate, and handles the disputes for you. Plans start at $79.99 a month with a 90-day money-back guarantee. See how it works.
If a collector is suing you over a medical bill, or you believe a hospital or collector broke federal or state rules, consult an attorney about your situation. For more, read does paying a collection remove it from your credit report and your credit report rights.
Frequently asked questions
Is medical debt still reported on credit reports in 2026?
Some of it. Unpaid medical collections of $500 or more that are at least a year past due can still be reported. Paid medical collections and those under $500 are not reported by the three bureaus.
What happened to the CFPB medical debt rule?
The CFPB finalized a rule in January 2025 that would have removed nearly all medical debt from credit reports. A federal judge in the Eastern District of Texas vacated it on July 11, 2025, finding it exceeded the agency's authority, so it never took effect.
Do state medical debt laws still apply?
More than a dozen states have passed laws limiting medical debt on credit reports. In October 2025 the CFPB issued an interpretive rule saying federal law preempts those state laws. That position is not binding on courts, and the question is still being contested, so check with your state attorney general.
Will paying a medical collection remove it?
Yes, under the bureaus' current policy. Once a medical collection is paid in full, the three bureaus remove it. If it still shows after you paid, dispute it with proof of payment.
Is medical debt on a credit card treated as medical debt?
No. If you paid a medical bill with a regular credit card or a medical credit card, the account is reported like any other card. Late payments and balances count normally, and the medical debt protections don't apply.
How much will my score go up when medical collections are removed?
It depends on the rest of your report. If medical collections were your only negative items, the change can be noticeable. If you also have late payments or high balances, the effect is usually smaller. No one can promise a specific increase.
Can a hospital send my bill to collections right away?
Nonprofit hospitals generally must wait at least 120 days after the first post-discharge bill before reporting you to a credit bureau, and must have a financial assistance policy. Even then, the bureaus won't list the debt until it is a year past due.
This article is for educational purposes and isn't legal advice. Credit Saint is a credit repair organization. Results vary, and no credit repair company can promise a specific outcome or score change.
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