Sample Letters For Disputing Medical Bills On Your Credit Report

Getting medical bill show up on your credit report can be disheartening and its confusing to read all this conflicting information online about how to repair your credit after getting a medical collection..However, if you are confident that this medical bill was incorrectly listed on your credit report, you can dispute it. The specifics of how to challenge medical bills are covered in this article.

This article will teach you my proprietary 4 step D.V.D.E Method  on how to remove a medical collection from your credit report.

I’ve written this article for people who can’t afford my company’s paid services, but can invest a  good amount of time to learn and execute this process.

So here is what The D.V.D.E Method entails:

Step 1. Discover: find out  of facts

Step 2. Validate : Engage the collection agency with a medical debt validation letter

Step 3: Dispute: Dispute the account with each of the 3 major credit bureaus

Step4: Escalate: File regulatory complaints against the collection company

This method has taken me  20 years to perfect as a credit repair advocate, while  dealing with every major collection agency.

There are two federal laws we’ll be utilizing,  the Fair Credit Reporting Act(FCRA)  and the Fair Debt Collection Practices Act(FDCPA).

Note: If a medical collection is paid off or settled, then according to credit bureau police it will not appear on your credit report.

STEP 1: DISCOVER: Find Out the Facts

First review your credit reports, and see how the account is reporting, with dates and amounts. Next call the hospital or the medical collection company. find out what the debt is for and when did you get medical service for it. Get as much information as you can, and keep an eye out for possible error’s you will later be able able to use in your disputes

Types of medical bill errors you can use in your disputes

• Incorrect Billing: Incorrect billing might take the form of receiving charges for a canceled schedule or omitting crucial information such as the patient’s contact information. This can result in the patient incurring an unnecessary medical bill charge.
• Unbundling: This happens when a billing code designed to charge an operation as a group is utilized individually. It is unlawful and should be reported if you find it in your medical collection.
• Duplicate Charges: This is when a provider invoices a patient for the same test, exam, treatment, or operation at least twice. It is usually the result of someone in their office failing to check to see if the patient has already paid for the service.
• Wrong or swapped numbers: A typo (for example, an extra zero) or swapping the positions of two numbers can result in you paying for more service than you received from a medical provider.
• Debt is already paid: happens when the debt is paid off by your insurance comapny or you actually paid the debt off before
• Insurance was liable to pay: happens when the debt was supposed to be covered by insurance or medicare
• Debt is less than 1 year old: a medical debt cannot be reported if the original bill at the hospital was generated less than 1 year ago
• Debt is over 7 years old: a medical debt cannot be reported if the original bill at the hospital was generated more than than 7 year ago

STEP2: VALIDATE: Send This Sample Medical Dispute Letter Template to the Collector

This  sample debt validation letter is one that requires a response from the lender under FDCPA 15 U.S. Code § 1692g  .  It can do one of two things:  Firstly it can  ask for proof of your responsibility and secondly challenge  any discrepancies or inaccurate information about the medical collection on your credit report.

The letter should be mailed to the collection company sent via certified return receipt mail and keep a copy of the letter and the receipt .

[Your Name]

[Your Address] [City, State, ZIP Code] [Date]

Collection Agency Name

[Agency Address] [City, State, ZIP Code]

Subject: Dispute of Medical Collection and Request for Validation under FDCPA 15 U.S. Code § 1692g 

Dear Sir/Madam,

I am writing to formally dispute the medical collection listed under [Account Number]. Under the Fair Debt Collection Practices Act (FDCPA), provide validation of this debt including:

1. A copy of the original bill from the medical provider.

2. Details of any payments made or owed.

3. Verification that you have legal authority to collect this debt, in the form of the contract of assignment between you and the hospital or medical provider.

4. All itemization of the debt with proper billing codes

I am dispute this debt

[add any additional points of dispute you found in Discover Step1]

I am requesting you only contact me via mail. My address is listed above

Please cease and desist from all collection activity until the account has been validated. If you’re unable to validate this account, please delete it from all my credit reports. I look forward to receiving your response within 30 days.

Sincerely,

[Your Name]

What you can Include With the Medical Debt Validation Letter (Optional)

Although the above sample is one that is an effective one, what would make it even better is if you have additional proof or facts to provide that could help you case, example:

 

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STEP 3: DISPUTE: Contest The Account With The Credit Bureaus

Medical Collection Dispute Letter To Credit Bureau

If you need to send a medical collection dispute letter to a credit bureau because of incorrect billing or duplicate charging from the provider, in the event you have other accounts aside from medical collection then you’ll need a non-medical debt sample credit bureau dispute letter instead. But if you’re simply disputing medical debt, the letter below will do .

 

[Your Name]

[Your Address] [City, State, ZIP Code] [Date]

Credit Bureau Name

[Address of Credit Bureau] [City, State, ZIP Code]

Subject: Dispute of Medical Collection on Credit Report

Dear [Credit Bureau Name],

I am writing to formally dispute an inaccurate medical collection listed on my credit report as follows:

[Collection Company Name] [Account Number] [Amount reported ] [ open date on credit bureau]

Reason for Dispute :  _____________________ (pick from the reasons below and delete the ones that don’t apply to you)

• You have already paid your debt, and the bill was sent to you by mistake.
• Your identity was mistaken or stolen.
• Insurance has already paid for the charge
• You were charged the incorrect amount.
• The billing account appears in your collection more than once.
• Incorrect opening date or incorrect amount

In accordance with the Fair Credit Reporting Act (FCRA), please correct or remove this item if it cannot be verified.

Thank you for your prompt attention to this matter.

Sincerely,

[Your Name]

Enclosed: Copy of Id and  Recent Utility Bill

 

What  documentation you to add to  the credit bureau dispute letter (Optional)

Since you can dispute a medical bill on your credit report, here are four items to include in your medical bill dispute letter for the best results.

Add your identification and proof of residence

If you want to get updated credit report copies back, you’ll need to send in the envelope a copy of your current photo ID card or drivers license , as well as a recent utility bill that shows your name , recent date to confirm your address.

Introduce  Documentation to support your dispute (optional)

Documents that can be used as supporting evidence can be included with your dispute letter to support your claim. Such as proof of payments, or any proof showing what’s on the credit report is incorrect, such as dates, amounts etc. A copy of your credit report may be included.

Where should you mail your credit bureau dispute letter?

you also mailed it to each credit bureau’s specific address. below

3 Major Credit Bureaus Mailing Information:

Experian, P.O. Box 4500, Allen, TX 75013	Equifax,  P.O. Box 740256, Atlanta, GA 30374-0256}	Transunion,  Consumer Disputes, P.O. Box 2000, Chester, PA 19016

STEP 4: ESCALATE : File Your Complaint With The CFPB

If the above three steps didn’t yield results, you can submit a complaint with the Consumer Financial Protection Bureau (CFPB) against the collection company.

 Their  portal  forwards your complaint to the collection agency  and forward you any responses the CFPB gets back from them.  The CFPB complaints generally gets someone with executive authority  to respond back . Here’s are the steps to file the complaint

1: Go to the CFPB’s complaint portal 

2: You will be prompted to put in you personal  information.

3: You will be asked to verify your email

4: You will be asked to identify the type of account  you are complaining for.  Pick “debt collection” and then  “medical ” ,

5: You will be asked “what type of problem you have,”  simply pick  whatever applies closes to you

6:  You’ll be asked to fill  out your complaint details,  you can add that the debt was not validated  or responded to by the debt collection company.  You can also attach your credit bureau and debt validation letter you sent.  After submission, you’ll get a response in 15-60 days.

FREQUENTLY ASKED QUESTIONS:

How long you have before a Medical Bill is reported  to Your Credit Report?

However, do note that medical collections  can only be reported to the credit report after a 365 day waiting period after the original medical service provider issued a bill. So for instance you get service at a hospital on October 4th 2024. The hospital may hire a collection company to collect, but the collection company won’t be able to report the account to your credit report until October 4th 2025.

When Do Medical Collection Fall off the Credit Report For?

Also the credit bureaus 7 year rule  stats that no deliquent accounts including medical collection will remain on your credit report after 7 years.

Are Medical Bills On Your Credit Report A Violation Of HIPAA?

The presence of medical expenses on your credit record does not constitute a violation of the Health Insurance Portability and Accountability Act (HIPAA). This is because HIPAA does not govern medical bill credit reporting; instead, the Fair Credit Reporting Act (FCRA) does., which allows for medical debts to be reported.

Information That Debt Collectors Can Legally Share Under HIPAA

Personal information such as a patient’s name, social security number, address, date of birth, payment history, and account number are permitted to be lawfully shared by debt collectors under the HIPAA.

How To Keep A Medical Bill From Being Sent To Collections

To prevent having your medical bill sent to collection, you can form a payment arrangement with your provider in which you agree to pay the bill over a set time, typically six months, so that it is not sent to collection. Then, if the provider agrees, make sure you have it in writing as proof and that you keep your part of the bargain.

How To Negotiate Medical Bills With Collectors

Negotiating a medical bill before it goes to collections is always advantageous to you. This will save you money and allow you to fix the bill before it becomes a negative item on your credit record. Here are four methods for negotiating medical bills before they go to collections.

1. Request a price reduction: If you can pay the amount in full, asking for a discount will get you an excellent offer. This is profitable to both you and the medical organization since it saves you money by keeping your bill out of collections and saves them time and resources spent searching down payment in theri records.
2. Inquire about a payment plan: Getting a discount and paying upfront may not always be possible. You can, however, use a payment plan. Most providers provide payment plans in which you can agree on a reasonable payment schedule, which will aid in keeping your bills out of the collection.
3. Obtain financial aid: You can enquire about financial aid alternatives with your provider. This program is commonly available to persons who cannot afford medical bills. However, make sure that the terms and conditions are met.
4. Choose a lower-cost treatment: Take the time to shop around for different medical treatment; you might be surprised at the range of prices available in your area. Depending on your insurance company, you may be able to compare rates from other providers and choose the cheapest.

Note: For medical debts it is not up to the collection company to reduce the amount.  That decision lies with the hospital and some hospitals do not have a policy to reduce amounts unless there are billing errors or if you  qualify  approved for a financial aid program

What To Do If Your Medical Dispute Letter Doesn’t Work

Suppose you do not receive a suitable resolution after filing a medical dispute letter. In that case, you can use a credit repair agency like IMAX, a medical advocate who can work with your insurance company or doctor to find a settlement on your behalf. Another alternative is negotiating a discount with your medical provider to settle the amount, because by law once the debt is settle or paid, it will automatically get deleted from your credit report.