Rules if any on when and how medical debt cn be reported as a collection

[robismyname]

What is the name of your state? Maryland

I received a medical bill in January 2019. I started making monthly payments on it in January 2019.

March 3, 2019 I received credit alert notices from equifax, transunion, experian that a new collection was added to my reports.

Upon reviewing my reports the medical bill company I was paying monthly hired a collection company and the collection company placed a collection on all my credit reports. I never received one letter from the collection company although they claimed they sent me letters.

I disputed the collection account with equifax, experian, transunion and showed I was making payments before the account was placed into collection showing cashed checks from the medical company. Experian and Transunion deleted the account but Equifax told me the account is accurate.

Since I was making payment before the account was added to my report as a collection can I be reported as a collection account? Is there any rule on how the creditors collection companies are suppose to report bills?

Do I have a case against Equifax for not understanding I was making payments three months prior before the collection was added to my credit report? Was I just lucky that experian and transunion removed the collection? Can I also go after the collection company that reported the debt as a collection 3 months after I have been making payments (never stopped making payments)?

 

[FlyingRon]

Unless you have an agreement with the provider to make periodic payments and you are up to date on them, they are free to report the account as being in collections. Typically, medical bills are due when the services are rendered. They may give you a grace period (especially when insurance is involved, they may be required to).

You have no claim against the credit bureaus anyhow. If you have any issue it is with the hospital/collections agency. The credit bureaus just operate based on the information they provided to them and they don't adjudicate disputes between you and the creditor. They're pretty much only required to make sure that the provided information does correspond to YOU and the creditor attests to the accuracy.

 

[robismyname]

thank you for the advice.

so accepting the monthly payments is not a form of an agreement? is a agreement over the phone legitimate? or is a agreement only in writing/documented legitimate?

so if I had a written agreement that said pay $50 per month and i pay $150 per month could I be violating the agreement such that it would be reported on my credit report as derogatory information because I paid more?

under fcra.....credit information should be reported accurately. is it accurate to report a debt as a collection if it was being paid before it went into collection?

if the credit bureaus only operate with data they are provided why wasnt my data of showing I'm making payments three months before the collection hit my credit report have no weight? because I didnt show in my dispute to equifax that I had a written agreement in place?

I'm asking these questions to learn not to devalue your courteous response to me and my credit issue.

 

[FlyingRon]

If you had an agreement to make payments, then that restructures the debt. If you just start making partial payments on your own, no it does not.
I see nothing "inaccurate" here.

Again, the debt is likely due in full already. Your paying part of it doesn't make things suddenly "OK."

Whatever grace period they give you doesn't constitute any obligation on their part. As I said, with insurance in the mix, they're often willing to wait a bit before declaring you in default.

 

[adjusterjack]

so accepting the monthly payments is not a form of an agreement?

No.

is a agreement over the phone legitimate?

If you can prove it. But if you talked to some clerk who said it's OK to send payments, she likely has nothing to do with the billing department and can't be held accountable for the advice.

or is a agreement only in writing/documented legitimate?

Surely you must already know the answer to that question by now.

so if I had a written agreement that said pay $50 per month and i pay $150 per month could I be violating the agreement such that it would be reported on my credit report as derogatory information because I paid more?

Of course not. That's just plain silly. Your credit card says make a minimum payment, you pay more, does it show up on your credit report? No. Ditto your house payment and your car payment. You can always pay more than the minimum.

under fcra.....credit information should be reported accurately. is it accurate to report a debt as a collection if it was being paid before it went into collection?

It WAS reported accurately. You were in default because you didn't pay in full. Period.

if the credit bureaus only operate with data they are provided why wasnt my data of showing I'm making payments three months before the collection hit my credit report have no weight?

Because a creditor has the option to report payments, not the obligation.

I'm asking these questions to learn

And we are happy to teach.