Protecting Veterans Credit Act of 2017

Summary: Protecting Veterans Credit Act of 2018  This bill amends the Fair Credit Reporting Act to limit, and establish a dispute process and verification procedures with respect to, the inclusion of a veteran's medical debt in a consumer credit report.   

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Protecting Veterans Credit Act of 
2018''.

SEC. 2. PURPOSE.

    The purpose of this Act is to rectify problematic reporting of 
medical debt included in a consumer report of a veteran due to 
inappropriate or delayed payment for hospital care, medical services, 
or extended care services provided in a non-Department of Veterans 
Affairs facility under the laws administered by the Secretary of 
Veterans Affairs.

SEC. 3. AMENDMENTS TO FAIR CREDIT REPORTING ACT.

    (a) Veteran's Medical Debt Defined.--Section 603 of the Fair Credit 
Reporting Act (15 U.S.C. 1681a) is amended by adding at the end the 
following:
    ``(z) Veteran.--The term `veteran' has the meaning given the term 
in section 101 of title 38, United States Code.
    ``(aa) Veteran's Medical Debt.--The term `veteran's medical debt'--
            ``(1) means a medical collection debt of a veteran owed to 
        an eligible non-Department of Veterans Affairs health care 
        provider that was submitted to the Department for payment for 
        health care authorized by the Department of Veterans Affairs; 
        and
            ``(2) includes medical collection debt that the Department 
        of Veterans Affairs has wrongfully charged a veteran.''.
    (b) Exclusion for Veteran's Medical Debt.--Section 605(a) of the 
Fair Credit Reporting Act (15 U.S.C. 1681c(a)) is amended by adding at 
the end the following:
            ``(7) Any information related to a veteran's medical debt 
        if the date on which the hospital care, medical services, or 
        extended care services was rendered relating to the debt 
        antedates the report by less than one year if the consumer 
        reporting agency has actual knowledge that the information is 
        related to a veteran's medical debt and the consumer reporting 
        agency is in compliance with its obligation under section 4(e) 
        of the Protecting Veterans Credit Act of 2018.
            ``(8) Any information related to a fully paid or settled 
        veteran's medical debt that had been characterized as 
        delinquent, charged off, or in collection if the consumer 
        reporting agency has actual knowledge that the information is 
        related to a veteran's medical debt and the consumer reporting 
        agency is in compliance with its obligation under section 4(e) 
        of the Protecting Veterans Credit Act of 2018.''.
    (c) Update to Summary of Rights.--Section 609(c)(1)(B) of the Fair 
Credit Reporting Act (15 U.S.C. 1681g(c)(1)(B)) is amended--
            (1) in clause (v), by striking ``and'' at the end;
            (2) in clause (vi), by striking the period and inserting 
        ``; and''; and
            (3) by adding at the end the following:
                            ``(vii) the right of a veteran to dispute 
                        the inclusion of veteran's medical debt under 
                        section 611.''.
    (d) Removal of Veteran's Medical Debt From Consumer Report.--
Section 611 of the Fair Credit Reporting Act (15 U.S.C. 1681i) is 
amended--
            (1) in subsection (a)(1)(A), by inserting ``and except as 
        provided in subsection (g)'' after ``subsection (f)''; and
            (2) by adding at the end the following:
    ``(g) Dispute Process for Veteran's Medical Debt.--
            ``(1) In general.--With respect to a veteran's medical 
        debt, the veteran may submit a notice described in paragraph 
        (2), proof of liability of the Department of Veterans Affairs 
        for payment of that debt, or documentation that the Department 
        of Veterans Affairs is in the process of making payment for 
        authorized hospital care, medical services, or extended care 
        services rendered to a consumer reporting agency or a reseller 
        to dispute the inclusion of that debt on a consumer report of 
        the veteran.
            ``(2) Notification to veteran.--The Department of Veterans 
        Affairs shall submit to a veteran, not later than 30 days after 
        the Department of Veterans Affairs assumes such liability, a 
        written notice that the Department of Veterans Affairs has 
        assumed liability for part or all of a veteran's medical debt.
            ``(3) Deletion of information from file.--If a consumer 
        reporting agency receives notice, proof of liability, or 
        documentation under paragraph (1), the consumer reporting 
        agency, not later than 30 days after receipt, and free of 
        charge to the veteran, shall delete all information relating to 
        the veteran's medical debt from the file of the veteran and 
        notify the furnisher and the veteran of that deletion.''.

SEC. 4. VERIFICATION OF VETERAN'S MEDICAL DEBT.

    (a) Definitions.--For purposes of this section--
            (1) the term ``consumer reporting agency'' means a consumer 
        reporting agency described in section 603(p) or 603(x) of the 
        Fair Credit Reporting Act (15 U.S.C. 1681a); and
            (2) the terms ``veteran'' and ``veteran's medical debt'' 
        have the meanings given those terms in section 603 of the Fair 
        Credit Reporting Act (15 U.S.C. 1681a), as added by section 
        3(a) of this Act.
    (b) Establishment.--Not later than one year after the date of 
enactment of this Act, the Secretary of Veterans Affairs shall 
establish a database to allow consumer reporting agencies to verify 
whether a debt furnished to a consumer reporting agency is a veteran's 
medical debt.
    (c) Database Features.--
            (1) In general.--The Secretary of Veterans Affairs shall 
        ensure that the database established under subsection (b), to 
        the extent permitted by law, provides consumer reporting 
        agencies with--
                    (A) sufficiently detailed and specific information 
                to verify whether a debt being furnished to the 
                consumer reporting agency is a veteran's medical debt;
                    (B) access to verification information in a secure 
                electronic format;
                    (C) timely access to verification information; and
                    (D) any other features that would promote the 
                efficient, timely, and secure delivery of information 
                that consumer reporting agencies could use to verify 
                whether a debt is a veteran's medical debt.
            (2) Security and confidentiality.--The Secretary shall 
        ensure that, in maintaining and allowing access to the database 
        established under subsection (b), the security and 
        confidentiality of nonpublic personal information is 
        maintained.
    (d) Stakeholder Input.--Prior to establishing the database for 
verification under subsection (b), the Secretary of Veterans Affairs 
shall publish in the Federal Register a notice and request for comment 
that solicits input from the public.
    (e) Verification.--Provided the database established under 
subsection (b) is fully functional and the data available to consumer 
reporting agencies, a consumer reporting agency shall use the database 
as a means to identify a veteran's medical debt pursuant to paragraphs 
(7) and (8) of section 605(a) of the Fair Credit Reporting Act (15 
U.S.C. 1681c(a)), as added by section (3)(b) of this Act.

SEC. 5. EFFECTIVE DATE.

    The amendments made by this Act shall take effect on the date that 
is one year after the date of enactment of this Act.