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NY Halts Collection of Student, Medical Debt

FILE - New York Governor Andrew Cuomo delivers remarks at a news conference in Manhattan borough of New York City, New York, March 2, 2020.

The state of New York has halted collection of medical and student debt. The announcement was made Tuesday by New York Governor Andrew Cuomo and New York Attorney General Letitia James and went into effect immediately.

"Countless New Yorkers have been impacted — directly or indirectly — by the spread of COVID-19, forcing them to forgo income and business," a statement on the governor's website read.

"In an effort to support these workers and families and ease their financial burdens, the OAG will halt the collection of medical and student debt owed to the State of New York and referred to the OAG for collection from March 16, 2020 through April 15, 2020," it said.

After the 30-day period, the statement said, the office of the attorney general will reassess the needs of its residents for a possible extension.

Also, those with nonmedical and nonstudent debt may apply to have the collection of their state debt temporarily halted.

"In this time of crisis, I won't add undue stress or saddle NYers with unnecessary financial burden, this is the time to support residents," James wrote on Twitter.