topic Paying OC First? in Recovering from Medical Debt

Paying OC First?

Anonymous — Fri, 24 Apr 2009 22:30:39 GMT

Greetings,

First of all, this is the best board out there for DIY credit repair, hands down. Kudos for everyone here for sharing such a wealth of information. Anyone interested in starting public Wiki with all this info please let me know.

Okay here's my issue...I have a $192 Unpaid medical collection on my Equifax report and my goal is PIF/deletion:

Date Reported: 07/2006

Date Assigned: 03/2006

Creditor Classification: Medical/Health Care

Account Owner: Individual Account.

Original Amount Owned: $178

Date of 1 st Delinquency: 09/2005

Balance Date: 07/2006

Balance Owned: $192

Last Payment Date: N/A

Status Date: 07/2006

Status: D - Unpaid

Comments: Medical

Can I just skip the opting out, and pre-dispute letters to the CRA and head straight to sending a check CMRRR? Reason is, I don't want to wait 30 - 45 days for the CRA to tell me what I already know (that it's valid and unpaid), whereas if I go ahead and pay the OC today, then they will in turn notify the CA that it's paid. Correct? I just want to pay the OC and then dispute with the CRA for deletion of a paid medical debt. I have never had any contact with the CA nor do I intend to. I'd just rather get the thing paid now instead of doing the opt out/freezing, sending pre-dispute letter to the CRA and waiting 35 - 45 days since I can and want to just pay the OC today.

What am I risking by just paying the OC today?

Since I'm not going to contact the CA am I still retaining my HIPAA rights?

BTW - I disagree with this debt *IN PRINCIPAL*, but practically I just want it GONE!

Thanks in advance!

Message Edited by oneeighty on 04-24-2009 03:30 PM

Re: Paying OC First?

fused — Fri, 24 Apr 2009 22:54:04 GMT

Welcome to the forums!

If this med collection is the only derogatory item on your report, its not necessary for you to opt-out with your creditors. However, you should opt-out with the CRAs. Make sure the correct address is reporting on your reports. After you do these things, the HIPAA letter process always begins with the pre-HIPAA medical dispute letter to the CRA. I don't think your plan will likely work.

Re: Paying OC First?

Anonymous — Fri, 24 Apr 2009 23:11:06 GMT

Thanks for your reply!

This is only derog on my Equifax report. I have an unrelated collection on my TU report, but i will deal with that issue separately via PFD.

In any case, what exactly am I gaining by filing a pre-HIPAA med dispute when I already know the answer, and I have to wait over a month?

In converse, what am I risking by going ahead and paying the OC first (*not* the CA), *then* disputing with CRA?

I'm just a little puzzled here by the need for the pre letter and waiting for a response (validated/unpaid) if I already know what my next move would be. Besides, I'm reading a couple of posts here now that indicate that by sending the pre letter that the CRAs are throwing fraud flags.

Can you please help me understand what the pitfalls are here by paying OC first in my particular case? I know you've developed the process and have all the experience and for that I'm truly gateful. Please enlighten me here as I will also be helping my friends and family in the future and referring them to this board!

Re: Paying OC First?

fused — Fri, 24 Apr 2009 23:32:03 GMT

Med collections are an entirely different animal than other collections. The rules and laws are different. The HIPAA letter process nearly ensures a delete if its done properly and in the right order. Sure the FCRA, FACTA and FDCPA also apply to med collections, but the HIPAA privacy act has a lot of teeth, and they're very sharp. I'll tell you what, go ahead and pay the OC and we'll see what happens. Prove me wrong

Re: Paying OC First?

TheRealT — Sun, 26 Apr 2009 21:47:00 GMT

I sent a pre-HIPPA letter to EQ a few days ago and my paid medical collection was deleted in under 5 days with no fraud alert posted and no grief.

I realize my situation is different than yours, but I just thought I would share my experience. I'd follow the process.

My 2 cents. Good luck to you.