Credit Reporting Practices Changes: Medical Debt, Tickets, and Fines

Equifax, Experian, and TransUnion will soon stop reporting debts that did not arise from a contract or agreement with the consumer being reported, such as tickets or fines. Also, they won’t start reporting medical debts until after a 180 day waiting period, they will also remove reported medical debts being paid by insurance companies. This comes after Fair Isaac Corp., of the FICO score, stated that it will stop using medical debt as part of its scoring system. Finally, new and better information will be sent to consumers if they dispute a debt on their reports. All welcome changes, and long overdue.