asset_type: threshold

body: What a hospital or debt collector may legally do to collect a medical bill in this state, and when. A wave of state laws enacted between 2025 and 2026 put dollar and day limits on medical-debt collection that a generic 'debt collection laws' page does not carry, and every one is genuinely different in shape, not just amount: Louisiana caps interest on medically-necessary debt at 3% per annum (R.S. 51:1503, enacted 2026); Virginia caps it at 3% but only after a 90-day grace period (Va. Code 59.1-612); Rhode Island floats the cap to the one-year Treasury yield, collared between 1.5% and 4% (R.I. Gen. Laws 6-26-11); Maryland bars a hospital from suing over a bill of $500 or less and from charging interest for 240 days (Health-General 19-214.2); Washington bars selling or assigning the debt to a collection agency for the first 120 days (RCW 70.54.470); Maine bans a debt collector from charging any interest on medical debt at all, a cap of zero rather than a low rate (32 M.R.S. §11013). Virginia is also the state to read for garnishment: §59.1-612(B) is the one flat ban on foreclosing, lien-placing, arrest and wage garnishment found in these six sources. One record per state per protection actually enacted, each a different mechanism -- an interest cap, a delay, a dollar floor, an outright ban -- because collapsing them into one 'protection level' loses the thing a patient or a collector actually needs to check. Answers 'can a hospital charge interest on my bill', 'how long before my medical bill can be sent to collections in this state', 'can my wages be garnished for a hospital bill', 'is there a minimum amount before a hospital can sue me'. Adjacent to state-hospital-financial-assistance-thresholds (the income test for free or discounted care, a different question from what happens once a debt exists) and wage-garnishment-exemption-thresholds-by-state (the general garnishment floor, not medical-specific). No national compilation was found with statutory citations: WageGarnishmentLaws.com's 2026 guide covers garnishment only, in prose, with no statute numbers and no interest-cap or lawsuit-threshold coverage; NCLC's well-kept article covers credit-reporting bans, a different sub-topic, not interest/garnishment/lawsuit rules. Six states enacted a relevant law in the 2025-2026 sessions alone (a United States of Care count), so this is actively moving and most existing summaries are already behind at least one state's newest session.

key_field: state

licence: Facts extracted from state statutes and official legislature websites, plus one enrolled-bill text where codification had not yet caught up to a 2026 signature; statutory and legislative text is not copyrightable (Wheaton v. Peters; Georgia v. Public.Resource.Org, 2020) and each record links to and quotes its own source section.

title: State limits on medical debt interest, garnishment and lawsuits

type: dataset


body:
**State:** Louisiana

**Statute:** R.S. 51:1501 through 1504

> To enact Chapter 15 of Title 51 of the Louisiana Revised Statutes of 1950, to be comprised 3 of R.S. 51:1501 through 1504, relative to medical debt protection;

**Interest rate cap:** three percent per annum

> Interest on medical debt arising from medically necessary care shall not 19 exceed three percent per annum. Any contractual provision imposing a higher 20 rate is void.

**Effective date:** effective upon signature by the governor

> Section 2. This Act shall become effective upon signature by the governor or, if not 2 signed by the governor, upon expiration of the time for bills to become law without signature 3 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana.

> §1503. Interest rate limitation 18 Interest on medical debt arising from medically necessary care shall not 19 exceed three percent per annum. Any contractual provision imposing a higher 20 rate is void.

Source: <https://www.legis.la.gov/legis/ViewDocument.aspx?d=1479321>

interest_rate_cap: three percent per annum

state: Louisiana

title: Louisiana — State limits on medical debt interest, garnishment and lawsuits

type: threshold


body:
**State:** Maine

**Statute:** §11013

**Interest rate cap:** Notwithstanding paragraph A, charging any interest on debt that the debt collector knows is medical debt;

> O. Notwithstanding paragraph A, charging any interest on debt that the debt collector knows is medical debt; [PL 2023, c. 663, §9 (NEW).]

**Notes:** a debt collector may not collect or attempt to collect a debt for medical expenses against a consumer who has been determined to be qualified for charity care under Title 22, section 1716‑A or against a consumer who would have been determined to be qualified for charity care under Title 22, section 1716‑A but did not apply for good cause.

> 11. (TEXT EFFECTIVE 7/01/26) Collection action prohibited on debt from medical expenses if eligible for charity care. If a debt collector has been notified, orally or in writing, by a creditor or the consumer of the consumer's actual or potential qualification for charity care under Title 22, section 1716‑A , a debt collector may not collect or attempt to collect a debt for medical expenses against a consumer who has been determined to be qualified for charity care under Title 22, section 1716‑A or against a consumer who would have been determined to be qualified for charity care under Title 22, section 1716‑A but did not apply for good cause.

> §11013. Prohibited practices (CONTAINS TEXT WITH VARYING EFFECTIVE DATES)

Source: <https://legislature.maine.gov/statutes/32/title32sec11013.html>

state: Maine

title: Maine — State limits on medical debt interest, garnishment and lawsuits


body:
**State:** Maryland

**Statute:** §19–214.2

**Delay before interest may start:** The determination of possible interest payments for patients who do not qualify for free or reduced–cost care, which may not begin before 240 days after the initial bill is provided;

> The determination of possible interest payments for patients who do not qualify for free or reduced–cost care, which may not begin before 240 days after the initial bill is provided;

**Minimum debt before a lawsuit is allowed:** (6) Prohibit the hospital from filing a civil action to collect a debt against a patient whose outstanding debt is at or below $500;

> (6) Prohibit the hospital from filing a civil action to collect a debt against a patient whose outstanding debt is at or below $500;

**Limit on selling the debt or garnishing wages:** (4) A hospital may not request a writ of garnishment of wages or file an action that would result in an attachment of wages against a patient to collect debt owed on a hospital bill if the patient is eligible for free or reduced–cost care under § 19–214.1 of this subtitle.

> (4) A hospital may not request a writ of garnishment of wages or file an action that would result in an attachment of wages against a patient to collect debt owed on a hospital bill if the patient is eligible for free or reduced–cost care under § 19–214.1 of this subtitle.

**Notes:** the hospital may not request the issuance of or otherwise knowingly take action that would cause a court to issue: 1. A body attachment against a patient; or 2. An arrest warrant against a patient.

> (ii) If a hospital files an action to collect the debt owed on a hospital bill, the hospital may not request the issuance of or otherwise knowingly take action that would cause a court to issue: 1. A body attachment against a patient; or 2. An arrest warrant against a patient.

> §19–214.2. IN EFFECT (a) (1) Each hospital annually shall submit to the Commission:

Source: <https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=ghg&section=19-214.2&enactments=false>

state: Maryland

title: Maryland — State limits on medical debt interest, garnishment and lawsuits


body:
**State:** Rhode Island

**Statute:** R.I. Gen. Laws § 6-26-11

**Interest rate cap:** Interest on medical debt shall be limited to the rate of interest equal to the weekly average one-year constant maturity Treasury yield, but not less than one and a half percent per annum (1.5% p.a.) nor more than four percent per annum (4% p.a.) as published by the Board of Governors of the Federal Reserve System, for the calendar week preceding the date when the consumer was first provided with a bill.

> Interest on medical debt shall be limited to the rate of interest equal to the weekly average one-year constant maturity Treasury yield, but not less than one and a half percent per annum (1.5% p.a.) nor more than four percent per annum (4% p.a.) as published by the Board of Governors of the Federal Reserve System, for the calendar week preceding the date when the consumer was first provided with a bill.

**Effective date:** effective June 26, 2025; P.L. 2025, ch. 303, § 1, effective June 26, 2025.

> History of Section. P.L. 2025, ch. 302, § 1, effective June 26, 2025; P.L. 2025, ch. 303, § 1, effective June 26, 2025.

**Notes:** The rate of interest provided in subsection (b) of this section shall only be applied to new debt incurred after June 26, 2025.

> (c) The rate of interest provided in subsection (b) of this section shall only be applied to new debt incurred after June 26, 2025.

> R.I. Gen. Laws § 6-26-11 § 6-26-11. Medical debt interest cap. (a) For purposes of this section “medical debt” means an obligation of a consumer to pay an amount for the receipt of healthcare services as defined by § 27-81-3, products, or devices, owed to a healthcare facility or a healthcare professional as defined by § 27-81-3. (b) Interest on medical debt shall be limited to the rate of interest equal to the weekly average one-year constant maturity Treasury yield, but not less than one and a half percent per annum (1.5% p.a.) nor more than four percent per annum (4% p.a.) as published by the Board of Governors of the Federal Reserve System, for the calendar week preceding the date when the consumer was first provided with a bill.

Source: <https://webserver.rilegislature.gov/Statutes/TITLE6/6-26/6-26-11.htm>

state: Rhode Island

statute_citation: R.I. Gen. Laws § 6-26-11

title: Rhode Island — State limits on medical debt interest, garnishment and lawsuits


body:
**State:** Virginia

**Statute:** § 59.1-612

**Interest rate cap:** no such interest or late fees shall exceed three percent of the amount of such medical debt per annum

> A. No large health care facility or medical debt buyer shall charge a patient any interest or late fees on medical debt until 90 days following the due date applicable to the final invoice, and no such interest or late fees shall exceed three percent of the amount of such medical debt per annum.

**Delay before interest may start:** until 90 days following the due date applicable to the final invoice

> A. No large health care facility or medical debt buyer shall charge a patient any interest or late fees on medical debt until 90 days following the due date applicable to the final invoice, and no such interest or late fees shall exceed three percent of the amount of such medical debt per annum.

**Limit on selling the debt or garnishing wages:** B. No medical creditor or medical debt collector shall use any of the following extraordinary collection actions to collect medical debts: 1. Causing an individual's arrest; 2. Causing an individual to be subject to a writ of body attachment; 3. Foreclosing on an individual's real property; 4. Placing a lien on an individual's personal property; or 5. Garnishing the wages of any individual qualifying for financial assistance under the financial assistance policy applicable to the underlying medical debt.

> B. No medical creditor or medical debt collector shall use any of the following extraordinary collection actions to collect medical debts: 1. Causing an individual's arrest; 2. Causing an individual to be subject to a writ of body attachment; 3. Foreclosing on an individual's real property; 4. Placing a lien on an individual's personal property; or 5. Garnishing the wages of any individual qualifying for financial assistance under the financial assistance policy applicable to the underlying medical debt.

**Notes:** E. No medical creditor or medical debt collector shall take any extraordinary collection action until 120 days following the due date applicable to the final invoice for a health care service.

> E. No medical creditor or medical debt collector shall take any extraordinary collection action until 120 days following the due date applicable to the final invoice for a health care service.

> § 59.1-612. Billing and collection rules; limits on creditors. A. No large health care facility or medical debt buyer shall charge a patient any interest or late fees on medical debt until 90 days following the due date applicable to the final invoice, and no such interest or late fees shall exceed three percent of the amount of such medical debt per annum.

Source: <https://law.lis.virginia.gov/vacodefull/title59.1/chapter59/>

state: Virginia

title: Virginia — State limits on medical debt interest, garnishment and lawsuits


body:
**State:** Washington

**Statute:** RCW 70.54.470

**Limit on selling the debt or garnishing wages:** No health care provider or health care facility may sell or assign medical debt to any person licensed under chapter 19.16 RCW until at least one hundred twenty days after the initial billing statement for that medical debt has been transmitted to the patient or other responsible party.

> No health care provider or health care facility may sell or assign medical debt to any person licensed under chapter 19.16 RCW until at least one hundred twenty days after the initial billing statement for that medical debt has been transmitted to the patient or other responsible party.

**Notes:** (c) "Medical debt" has the same meaning as provided in RCW 19.16.100 .

> (2) For the purposes of this section: (a) "Health care facility" has the same meaning as provided in RCW 70.02.010 . (b) "Health care provider" has the same meaning as provided in RCW 70.02.010 . (c) "Medical debt" has the same meaning as provided in RCW 19.16.100 .

> RCW 70.54.470 Medical debt—Limits on sale or assignment. (1) No health care provider or health care facility may sell or assign medical debt to any person licensed under chapter 19.16 RCW until at least one hundred twenty days after the initial billing statement for that medical debt has been transmitted to the patient or other responsible party.

Source: <https://app.leg.wa.gov/rcw/default.aspx?cite=70.54.470>

state: Washington

title: Washington — State limits on medical debt interest, garnishment and lawsuits