SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Protecting Veterans 
Credit Act of 2016’’. 
SEC. 2. PURPOSE. 
The purpose of this Act is to rectify reporting of med-
ical debt included in a consumer report of a veteran due 
to inappropriate or delayed payment for hospital care or 
medical services provided pursuant to section 101 of the 
Veterans Access, Choice, and Accountability Act of 2014 
(38 U.S.C. 1701 note) and to clarify the process of debt 
collection for such medical debt. 
SEC. 3. AMENDMENTS TO FAIR CREDIT REPORTING ACT. 
(a) VETERAN’S CHOICE 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’S CHOICE MEDICAL DEBT.—The term 
‘veteran’s Choice medical debt’ means a debt of a veteran 
arising from hospital care or medical services provided 
pursuant to section 101 of the Veterans Access, Choice, 
and Accountability Act of 2014 (38 U.S.C. 1701 note). 
‘‘(aa) VETERAN.—The term ‘veteran’ has the mean-
ing given such term in section 101(2) of title 38, United 
States Code.’’. 
(b) EXCLUSION FOR VETERAN’S CHOICE MEDICAL 
DEBT.—Section 605(a) of the Fair Credit Reporting Act 
VerDate Sep 11 2014 
03:42 Jun 29, 2016
Jkt 059200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H5593.IH
H5593
SSpencer on DSK4SPTVN1PROD with BILLS
(15 U.S.C. 1681c) is amended by adding at the end the 
following: 
‘‘(7) Any information related to a veteran’s 
Choice medical debt if the date on which such debt 
was placed for collection, charged to profit or loss, 
or subjected to any similar action antedates the re-
port by less than 1 year. 
‘‘(8) Any information related to a fully paid or 
settled veteran’s Choice medical debt that had been 
characterized as delinquent, charged off, or in collec-
tion.’’. 
(c) REMOVAL
OF VETERAN’S CHOICE MEDICAL 
DEBT FROM CONSUMER REPORT.—Section 611 of the 
Consumer Credit Protection Act (15 U.S.C. 1681i) is 
amended— 
(1) in subsection (a)(1)(A), by inserting ‘‘and 
except as provided in subsection (g)’’ after ‘‘sub-
section (f)’’; and 
(2) by adding at the end the following new sub-
section: 
‘‘(g) DISPUTE PROCESS
FOR VETERAN’S CHOICE 
MEDICAL DEBT.—A consumer may submit a notice along 
with proof of participation in the program established pur-
suant to section 101 of the Veterans Access, Choice, and 
Accountability Act of 2014 (38 U.S.C. 1701 note) to a 
VerDate Sep 11 2014 
22:18 Jun 29, 2016
Jkt 059200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H5593.IH
H5593
SSpencer on DSK4SPTVN1PROD with BILLS
consumer reporting agency or a reseller to dispute the in-
clusion of a veteran’s Choice medical debt on a consumer 
report of the consumer. Not later than 30 days after re-
ceipt of the notice, the consumer reporting agency shall 
delete information relating to the veteran’s Choice medical 
debt from the file of the consumer and notify the furnisher 
and the consumer of that deletion.’’. 
SEC. 4. COMMUNICATIONS REGARDING VETERAN’S CHOICE 
MEDICAL DEBT. 
(a) IN GENERAL.—Section 809 of the Fair Debt Col-
lection Practices Act (15 U.S.C. 1692g) is amended— 
(1) in subsection (a), by inserting ‘‘, except for 
a veteran’s Choice medical debt as described in sub-
section (f),’’ after ‘‘any debt’’; and 
(2) by adding at the end the following: 
‘‘(f) VETERAN’S CHOICE MEDICAL DEBT.— 
‘‘(1) DEFINITIONS.—For purposes of this sub-
section: 
‘‘(A) CONSUMER
REPORTING
AGENCY.— 
The term ‘consumer reporting agency’ has the 
meaning given such term under section 603(f) 
of the Fair Credit Reporting Act. 
‘‘(B) VETERAN.—The term ‘veteran’ has 
the meaning given such term in section 101(2) 
of title 38, United States Code. 
VerDate Sep 11 2014 
03:42 Jun 29, 2016
Jkt 059200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H5593.IH
H5593
SSpencer on DSK4SPTVN1PROD with BILLS
‘‘(C) 
VETERAN’S
CHOICE
MEDICAL 
DEBT.—The term ‘veteran’s Choice medical 
debt’ means a debt of a veteran arising from 
hospital care or medical services provided pur-
suant to section 101 of the Veterans Access, 
Choice, and Accountability Act of 2014 (38 
U.S.C. 1701 note). 
‘‘(2) COMMUNICATIONS REGARDING VETERAN’S 
CHOICE MEDICAL DEBT.—Within five days after the 
initial communication with a veteran in connection 
with the collection of a veteran’s Choice medical 
debt, a debt collector shall, unless the following in-
formation is contained in the initial communication 
or the veteran has paid the debt, send the veteran 
a written notice containing— 
‘‘(A) the amount of the debt; 
‘‘(B) the name of the creditor to whom the 
debt is owed; 
‘‘(C) a statement that unless the veteran, 
within 1 year after the initial communication, 
disputes the validity of the debt, or any portion 
thereof, the debt will be assumed to be valid by 
the debt collector; 
‘‘(D) a statement that if the veteran noti-
fies the debt collector in writing within such 1- 
VerDate Sep 11 2014 
03:42 Jun 29, 2016
Jkt 059200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H5593.IH
H5593
SSpencer on DSK4SPTVN1PROD with BILLS
year period that the debt, or any portion there-
of, is disputed, the debt collector will obtain 
verification of the debt or a copy of a judgment 
against the veteran and a copy of such verifica-
tion or judgment will be mailed to the veteran 
by the debt collector; 
‘‘(E) a statement that, upon the veteran’s 
written request within such 1-year period, the 
debt collector will provide the veteran with the 
name and address of the original creditor, if 
different from the current creditor; 
‘‘(F) a statement that the debt collector 
will not report the debt to a consumer reporting 
agency until 1 year after the date on which the 
debt collector sends the statement; and 
‘‘(G) a statement that the consumer may 
communicate with— 
‘‘(i) an insurance company to deter-
mine coverage for the debt; 
‘‘(ii) the Department of Veterans Af-
fairs to determine coverage for the debt or 
repayment options; or 
‘‘(iii) the provider of hospital care or 
medical services provided pursuant to sec-
tion 101 of the Veterans Access, Choice, 
VerDate Sep 11 2014 
03:42 Jun 29, 2016
Jkt 059200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H5593.IH
H5593
SSpencer on DSK4SPTVN1PROD with BILLS
and Accountability Act of 2014 (38 U.S.C. 
1701 note). 
‘‘(3) COLLECTION OF VETERAN’S CHOICE MED-
ICAL DEBT.—If the veteran notifies the debt col-
lector in writing within the 1-year period described 
in paragraph (1) that the veteran’s Choice medical 
debt, or any portion thereof, is disputed, or that the 
veteran requests the name and address of the origi-
nal creditor, the debt collector shall cease collection 
of the veteran’s Choice medical debt, or any disputed 
portion thereof, until the debt collector obtains 
verification of the veteran’s Choice medical debt or 
a copy of a judgment, or the name and address of 
the original creditor, and a copy of such verification 
or judgment, or name and address of the original 
creditor, is mailed to the veteran by the debt col-
lector. Collection activities and communications that 
do not otherwise violate this title may continue dur-
ing the 1-year period referred to in paragraph (1) 
unless the veteran has notified the debt collector in 
writing that the veteran’s Choice medical debt, or 
any portion of the debt, is disputed or that the vet-
eran requests the name and address of the original 
creditor. Any collection activities and communication 
during the 1-year period may not overshadow or be 
VerDate Sep 11 2014 
03:42 Jun 29, 2016
Jkt 059200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H5593.IH
H5593
SSpencer on DSK4SPTVN1PROD with BILLS