The bill amends Chapter 6-26 of the General Laws, titled "Interest and Usury," by introducing a new section, 6-26-11, which establishes a cap on interest rates for medical debt. Medical debt is defined as any obligation a consumer has to pay for healthcare services, products, or devices owed to healthcare facilities or professionals. The bill stipulates that the interest on medical debt cannot exceed the weekly average one-year constant maturity Treasury yield, with a minimum rate of 1.5% per annum and a maximum of 4% per annum, as published by the Federal Reserve. Additionally, patients who receive financial assistance will not incur any interest or late fees.

The provisions of this bill apply only to new medical debt incurred after the effective date of the legislation. The act is designed to protect consumers from excessive interest rates on medical debt, ensuring that they are charged a fair and manageable rate. The bill will take effect immediately upon passage.