Hospital Billing and Collection Agencies

[Doerthe Manahan]

My husband suffered a stroke a year ago. We received a bill for a substantial co-pay from the hospital. We have been making monthly payments since. Several months after beginning payments, the hospital turned our account over the a collection agency and reported our case to the state to intercept and turn over to the hospital any state tax refund we might be entitled to. Is this a legal process, even though we have not missed any monthly payments?

Also, is there any truth to the information I that hospital 'sell' outstanding patient debts to collection agencies?

 

[ecmst12]

Your state would be helpful.

Did you have a payment plan agreement with the hospital or did you just take it upon yourself to pay monthly? If you just decided to pay monthly, then you should not be surprised that you got sent to collections. Had you contacted the billing dept and gotten an agreed-on payment plan, this might not have happened.

How much have you been paying compared to the total bill?

 

[tranquility]

The state is imperative as I don't see how they can redirect tax refunds without a judgment. (At least in my state.)

 

[ecmst12]

There's at least one state where they can, I think it's SC? Or maybe NC? It's been talked about here before. It might have to be a state-affiliated hospital too.

 

[Hot Topic]

The OP is in Michigan. The state and date are up in the right hand corner.