Oregon Gov.Tina Kotek yesterday signed three new consumer protection laws that will reshape how medical debt, online pricing, and auto loan agreements are handled in the state. Each law is set to take effect in 2026 and aims to boost fairness and transparency in common financial transactions.
The big picture: The laws — Senate Bill 605, Senate Bill 430, and House Bill 3178 — were passed amid concerns about weakened federal consumer protections and growing cost-of-living pressures for Oregon households.
1. Senate Bill 605 – Medical Debt and Credit Reports
- What it does: Bans hospitals, debt collectors, and credit reporting agencies from reporting medical debt on consumer credit reports.
- Details:
- Applies to debt owed to healthcare providers or on credit cards used specifically for medical expenses.
- Prohibits charging interest on medical debt for patients who qualify for financial assistance.
- Declares violations an unlawful practice under the Unlawful Trade Practices Act and allows courts to void and render debts uncollectible.
- Effective date: Jan. 1, 2026.
2. Senate Bill 430 – Hidden Online Fees
- What it does: Prohibits online sellers from advertising or displaying prices that don’t include all mandatory fees required to complete a transaction.
- Exceptions:
- Government-imposed taxes and fees.
- Shipping or service fees calculated based on distance or user selection, if prominently disclosed prior to payment.
- Applies to: All online transactions with Oregon consumers, excluding certain federally regulated financial institutions and broadband providers complying with federal disclosure rules.
- Effective date: Sept. 26, 2025.
3. House Bill 3178 – Auto Loan and Lease Protections
- What it does: Tightens requirements around vehicle sales involving financing agreements.
- Key provisions:
- Reduces the loan finalization window from 14 to 10 calendar days.
- Requires sellers to accept the original loan terms or void the deal if a lender rejects the agreement.
- Mandates plain-language disclosures in six languages and protects consumers from premature trade-in vehicle processing.
- Violations: Sellers who fail to comply may be subject to penalties under Oregon’s consumer protection laws.
- Effective date: January 1, 2026.
Between the lines: Gov. Kotek emphasized the state’s role in filling the regulatory void left by federal rollbacks: “No one who’s trying to just do the basics should be dealing with these types of barriers,” she said.
Read SB 605. Read SB 430. Read HB 3178
