We have ALMOST achieved success at getting a $238 medical collection removed. However, we still need to take one final step... This medical collection involves three parties: the doctor who performed the service, the local billing agency who handles his bills, and the collection agency. Last night my wife called the doctor at the hospital and discussed the account with him. She told him that the CA was refusing to accept full payment of $238 in exchange for a deletion on the credit report. The doctor said he would be glad to accept the payment and would contact his billing manager with instructions for her to remove it from the credit report. Today, the billing manager called with all kinds of questions about what happened and what was going on. She was a very difficult person to deal with. When the subject of removing this item from the credit report came up, she said that the CA would be the one that automatically removed it once the bill was paid (yeah, right!) She first said that we should send the check to the CA, but later said that we could pay the billing agency if we preferred. She also stated that she had no problem with it being removed from the credit report if we paid within the next 15 days. Here is a summary of the players' positions: 1. DOCTOR - Says he will accept our check and remove it from the CR, and he owns the debt. 2. BILLING AGENT - Says we need to pay within 15 days and then the CA will take it off the CR. Doesn't seem to understand how CAs operate. 3. COLLECTION AGENCY - I don't trust them. Here is my question: Who do we send the $238 cashiers check to, and how do we make sure that everyone lives up to their verbal agreement to remove this from the CR once it is paid?
Congrats on the deletion! I too have had success bypassing a reluctant CA and going to the medical provider. When the billing department of the hospital agreed to my settlment amount, I had them CALL THE CA themselves to tell the CA to accept my agreement. The doctor's office shouldn't have a problem calling the CA on your behalf, they want their $$ and you want to ensure the CA complies with deletion, they are the ones reporting the account. Since the CA doesn't own the debt, the doctor's office has the power position here and can tell the CA what to do! Here is a copy of the letter I sent to the CA. March xx, 2002 Collection XXXof California xxx00 XXX Road, Suite xx1 XXX, CA 9xxx1 Re: Account Numbers: 15xxx, 14xxxx, 1xxxx4, xxxx, xxxxx13, 1xxxxx03 Attention: XXX Dear Mr. XXXX: This letter is to confirm our agreement regarding the settlement of my debt with Collection XXXXX that I owe. As discussed, I will pay Collection xxx $xxxx.33, the full principle, for my accounts with Collection xxxxxx. The following is a breakdown of the accounts and what I am paying for each: Account Amount to be paid: 1xxxx9 $416.85 1xxxxx1 $399 1xxxxxx4 $2672.65 1xxxxxxx $342.3 xxxxx3 $625.33 1xxxxx $262.20 The settlement of $xxxx.33 will constitute payment in full for the above accounts. Upon receipt of the above accounts, Collection xxx agrees to notify each of the credit bureau to which You report credit information that any adverse credit information regarding my accounts with you is no longer verifiable and should be deleted from my credit report. If you agree to the foregoing terms and conditions, please sign the Agreement and return a copy to me. Upon receipt of this signed agreement, I will immediately forward you a cashierâ??s check in the amount stated above. Date: ___________________ Your name Accepted and Agreed By:________________________ Name: Title: Date: Account Number: xxxx, xxxxx, xxxxxx, xxxxx Send CCCR. When I received the signed agreement back from the CA, I included a memo on the cashiers checks "PER MARCH XX, 2002 AGREEMENT." I also included a copy of this agreement. When I settled with the hospital, I "snuck" in the deletion part with my letter to the CA. I knew the billing officer of the hospital had already told the CA to accept my dollar as payment in full, I figured CA would not want to "tick off" the hospital by refusing to delete when they were told to accept my settlement. You can also fax this to the CA and have them fax it back. They shouldn't have a problem with signing this if the doctor's office contacts them.
Thanks cinderella! I'll have the doctor's office contact the CA first to pave the way and then follow the rest of your instructions. This is a biggie since it appears on all three CRs and is a very recent collection. I should see a significant jump in FICO scores when this one takes a permanent trip to the Land of Defeated Tradelines. However, my greatest satisfaction is that the evil CA is now "powerless" and can no longer make me "suffer the consequences" for having committed the terrible act of not paying my son's medical bill in a timely manner. Oh by the way, did I mention that the CA committed several FCRA & FDCPA violations while fighting me over this debt (which I had offered to pay in full for a deletion way back in September)? I have a sneaking feeling that the CA is going to wind up paying me MUCH MORE than $238 when all is said and done. TO BE CONTINUED IN A COURT OF COMPETENT JURISDICTION...
Greenvan, after you send payment into the CA, I wouldn't rely on the CA to actually go out of their way and send the UDF for deletion into the CRA's. I would follow-up with a dispute to the CRA's. The CA I settled with never sent a UDF to delete, but after I had the signed agreement, I didn't think they would dare verify. Besides, even if the CA were to send a UDF in, that could take up to 90 days to update. Bitter CA should of just settled with you in the first place.
I'm in a similar situation right now. Medical bill went to CA and was placed on my EQU report. I paid the doc's office directly and they said they would have CA remove the account from my credit report. The CA sent me a letter refusing to remove it because they are "obligated" to report it. I called the accounting dept. at the doc's office and the nervous little billing lady said that all she could do was ask the CA to remove it, but it was out of her hands. Which from what I understand is BS. I followed up by sending the doc's office a letter basically saying that we had a deal and if the CA doesn't remove the trade line per the agreement I had with the doc's office, that I would sue them because of the actions of the CA. I honestly don't even know if I'd have a case, but I would shell out the $ to retain an attorney just to shake things up. This particular CA is nasty and I believe crossing the line by not complying with a direct order from their client.
