The bill H. 4149 introduced in the South Carolina General Assembly aims to protect consumers from the negative impacts of medical debt by prohibiting creditors and debt collectors from reporting consumer debt that arises from services rendered at South Carolina medical facilities. Specifically, the bill adds Section 37-5-120 to the South Carolina Code of Laws, which defines key terms such as "consumer," "consumer report," "consumer reporting agency," "creditor," "debt collector," and "South Carolina medical facility."

Under this new provision, creditors and debt collectors are explicitly barred from reporting such medical debt to any consumer reporting agency, and consumer reporting agencies are prohibited from including this type of debt on consumer reports. This legislation is designed to alleviate the financial burden on consumers who may face challenges due to medical debt, ensuring that their credit reports remain unaffected by debts incurred from medical services. The act will take effect upon approval by the Governor.

Statutes affected:
03/05/2025: 37-5-120
Latest Version: 37-5-120