Wyoming gives collectors an eight-year window to sue for medical debt, which is the third-longest period in the country, allowing them significant time to pursue old accounts. Despite the long collection window, Wyoming law provides broad property and wage exemptions that make it difficult for collectors to actually seize your assets, even if they win … Read more
Washington State provides a powerful tool through the Consumer Protection Act, allowing patients to sue collection agencies for deceptive practices to recover actual damages, treble damages, and attorney fees. The statute of limitations for pursuing medical bills through the court system in Washington is six years, though collectors frequently attempt to reset this clock. New … Read more
Chapter 93A makes Massachusetts one of the most legally risky states for debt collectors, allowing patients to pursue double or triple damages for willful collection violations. State wage garnishment rules protect a significantly higher portion of your paycheck than federal laws, shielding up to 85% of your gross wages or 50 times the state minimum … Read more
Maine is currently advancing 2026 legislation that proposes significant new restrictions on medical debt wage garnishment. While that legislation is pending, current rules still allow collectors to garnish a portion of your disposable earnings if they successfully sue you. Maine residents rely on federal FCRA guidelines for credit reporting, as the state has not yet … Read more
Under current Indiana law, debt collectors who win a court judgment can garnish up to 25% of your disposable earnings for unpaid medical bills. A major 2026 Senate bill proposes banning wage garnishment entirely for residents making at or below 200% of the federal poverty level. The pending legislation would also cap garnishment at 10% … Read more
Florida offers a powerful “head of family” wage exemption that can completely protect the primary earner’s paycheck from medical debt garnishment. This exemption is not automatic. You must proactively file paperwork to claim it if a collector attempts to garnish your wages after winning a lawsuit. If you do not qualify for the head of … Read more
Colorado’s HB26-1267 legislation establishes a complete wage garnishment ban for medical debt, meaning collectors cannot legally take your paycheck even if they win a court judgment. Payment plans for medical bills in the state are now legally capped at 4% of a patient’s weekly income, stopping aggressive demands for unaffordable monthly installments. Under new regulations, … Read more
Arizona passed Proposition 209 in 2022, introducing aggressive consumer protections that cap interest rates on medical debt and vastly increase asset exemptions. Arizona is not a wage garnishment ban state. Collectors can seek to garnish up to 25% of your disposable earnings with a court judgment. There is no state-level credit reporting ban in Arizona; … Read more
Medical debt collectors can legally garnish your wages in 45 out of 50 states, but they cannot do it simply by sending a letter or making a phone call. A collector must first file a lawsuit against you, win the case in court, and obtain a formal judgment before they can touch a single cent … Read more
Sending an unpaid medical bill to a collection agency is generally legal, but the exact way the hospital transfers the account is highly regulated. It is illegal for a hospital to transfer unnecessary clinical information, such as your specific diagnosis or treatment notes, to a debt collector under HIPAA rules. Nonprofit hospitals violate federal tax … Read more