This bill amends Minnesota Statutes 2024, section 332.31, subdivision 8, to modify the definition of a "debt buyer." The new definition specifies that a debt buyer is a business that purchases charged-off accounts or other indebtedness for collection purposes, but explicitly excludes nonprofit organizations that acquire such debts for charitable purposes.

Additionally, the bill appropriates $5,000,000 from the general fund for fiscal year 2026 to the commissioner of commerce for a grant to Undue Medical Debt. This funding aims to relieve medical debt for eligible residents who have struggled to pay their medical bills after reasonable collection efforts by hospital providers. The appropriation is a one-time allocation available until June 30, 2028, and requires Undue Medical Debt to report to the commissioner of commerce and the attorney general on the demographics and details of the residents benefiting from this relief. The provisions of this bill will take effect the day after final enactment.

Statutes affected:
Introduction: 332.31