Collection Woes!

[tchr54]

Hi All,
I recently had shoulder surgery at a hospital in a neighboring state. The hospital had an excellent reputation for surgical services. My problem is this-my insurance company paid several thousand dollars to the hospital, but left me with about a $1500 bill. I have been paying $100 per month on the bill, but got a letter from the hospital saying they want all the balance or they would turn me over to a collection agency. I thought that as long as you were making good faith payments, they couldn't turn you over to collection. Please help!!

 

[DeniseM]

Hi All,
I recently had shoulder surgery at a hospital in a neighboring state. The hospital had an excellent reputation for surgical services. My problem is this-my insurance company paid several thousand dollars to the hospital, but left me with about a $1500 bill. I have been paying $100 per month on the bill, but got a letter from the hospital saying they want all the balance or they would turn me over to a collection agency. I thought that as long as you were making good faith payments, they couldn't turn you over to collection. Please help!!

What was your written payment agreement with the hospital - that's what counts.

 

[laurac260]

Hi All,
I recently had shoulder surgery at a hospital in a neighboring state. The hospital had an excellent reputation for surgical services. My problem is this-my insurance company paid several thousand dollars to the hospital, but left me with about a $1500 bill. I have been paying $100 per month on the bill, but got a letter from the hospital saying they want all the balance or they would turn me over to a collection agency. I thought that as long as you were making good faith payments, they couldn't turn you over to collection. Please help!!

Did you set up a payment plan with them? Yes, it is my understanding that so long as you have a payment plan that you are meeting in good faith, they cannot turn you over to collections. And if they are cashing your check, they are accepting your terms (I saw that on Judge Judy once).

 

[persia]

As with any creditor you need to talk to them. They need to know that you want a payment plan. In this day and age of computers whatever is in the computer dictates their actions.

 

[JeffW]

Did the hospital get bought by a different company? Maybe they have different rules.

Is it possible they think you had a year or so to pay it off, whereas at your rate ($100/month for 15 months), your bill won't be paid?

I'd like to think it's a simple confusion somewhere. I agree with others, you need to research what you signed (hopefully something, and it wasn't just verbal) when you started making your payments.

Jeff

 

[stmartinfan]

I'd echo the sentiments above to call and talk with someone asap, so you avoid having this go to a collection agency. I expect the hotel will be much more flexible than an agency.

And I'd suggest that if you don't get the answer you need from the first person you talk with, ask to talk with their superior. Too often the first person won't have the authority to make "exceptions" if that's what's needed. You might need to continue to escalate this to even higher levels at the hospital.

You'll want to have your facts ready, i.e., what the agreement was, what you've paid so far, and how diligent you've been, etc., You may also want to send this to someone in writing or by e-mail, so you've got a documented "trail," if you need to take your case to someone else who could help.

If it looks like you aren't going to get anywhere with the hospital yourself, you could try r calling any local ombudsman in your area - sometimes a local TV station or newspaper will have someone who handles issues like this or somewhere in your state government there may someone who regulates the medical industry who would be willing to support you. Having your "paper trail" will then allow them to better advocate on your behalf, because you can prove you tried yourself, and the hospital wasn't being reasonable.

 

[Passepartout]

Without a payment agreement, they would expect payment of the balance within a reasonable time (after your insurance has paid their part). You cannot unilaterally decide to just make 'good faith' payments. Call the health care provider and speak with their financing office. They may either make a payment schedule offer or provide you with an application with a 3rd party financing company if you can't pay the balance.

Jim

 

[persia]

The key here is to try to work it out with the hospital, the further down the creditor food chain you get, the nastier they get. They are likely used to people paying them off on payments, they likely have a payment plan, but an ordinary bill likely comes with a 30 day due date. You can't just assume that they will put you on a payment plan if you start sending them money....

TALK to them.

 

[geekette]

yep, you need an Actual Payment Plan. Your status is likely "guarantor responsibility" with no pmt plan on record.

 

[jlr10]

You might also check to see if Care Credit will work with you. (google them for info.) I have used them for expensive dental work. They issue a credit card for health related issues and then offer a reasonable payment plan. In our case they offerred 12 months at 0% interest. They may not be offerring the same terms now but if the hospital won't work with you this might be an option.

 

[persia]

Used care credit for dental work, got a 12 month interest free deal and of course paid it off in 12 months....

This year got a Discover Card to pay off Dentist bill, 12 months interest free. I like these interest free deals, they allow time to pay and maybe kick your credit rating up a point or two.