Medical debt will no longer appear on the credit reports of New York residents. The change signed into law Wednesday by Gov. Kathy Hochul takes effect immediately. It prohibits credit agencies from collecting information about medical debt or reporting it as part of consumer credit ratings. It also bans hospitals and healthcare providers in the state from reporting such debt to the agencies. New York follows Colorado in enacting the change, and a similar measure is being considered federally. It should help people hit with huge, unexpected medical bills. Bad credit reports can make it difficult to rent a house or get a car loan.