AG Suspends NY Student, Medical Debt Collection

NEW YORK, NEW YORK — New York state won't pursue collections of medical and student debt during the coronavirus crisis, Attorney General Letitia James announced Tuesday.

The order means 165,000 New Yorkers can breathe easier for at least 30 days, according to a release. James and Gov. Andrew Cuomo jointly suspended the collections amid growing layoffs, cutbacks and other economic pain caused by the COVID-19 outbreak.

"In this time of crisis, my office will not add undue stress or saddle New Yorkers with unnecessary financial burden," James wrote in a statement.

The Attorney General's office collects debts owed to the state.

SUNY students and patients who owe medical debt to the five state hospitals, among others, will not have to pay for the 30-day — perhaps longer — window.

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Other New Yorkers who had debt collections referred to James' office can apply for relief from payments, James wrote on Twitter.

James, who previously represented Clinton Hill, Fort Greene and parts of Crown Heights as a city councilwoman, recently went after New York City businesses for price gouging during the coronavirus crisis.

Cuomo's recent order to close bars and limit restaurants to takeout likely will lead to hardship among New Yorkers, even as it limits the virus' spread. He wrote in statement that the thousands New Yorkers who have had their lives disrupted should be supported.

“This new action to temporarily suspend the collection of debt owed to the state will help mitigate the financial impact of the outbreak on individuals, families, communities and businesses in New York as we continue to do everything we can to slow the spread of the virus," he wrote.

More information can be found here.

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