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Medical collection - I had insurance! What now?!

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jbishop1001
Frequent Contributor

Medical collection - I had insurance! What now?!

I just confirmed that for 1 collection on my report ( for my daughter going to the ER) that she HAD insurance! Medicaid is sending me proof of eligibility for her from the time she had it. What can I possibly do with this now? It's been almost 6 years. Medicaid only goes back 1 year I believe.

 

But if she had insurance - why should I have to pay?! What do I do? 

Starting Fico 8 Score: 571 EQ - 574 EX 605 TU Current Fico 8: 695 EQ 677 EX 709 TU
Message 1 of 27
26 REPLIES 26
gdale6
Moderator Emeritus

Re: Medical collection - I had insurance! What now?!


@jbishop1001 wrote:

I just confirmed that for 1 collection on my report ( for my daughter going to the ER) that she HAD insurance! Medicaid is sending me proof of eligibility for her from the time she had it. What can I possibly do with this now? It's been almost 6 years. Medicaid only goes back 1 year I believe.

 

But if she had insurance - why should I have to pay?! What do I do? 


You can use the HIPAA Process to try and get it removed from your CRs, you can Google it we cant discuss it on this board, but since its 6 yrs old I would actually do nothing and just wait for it to drop in the next year or so, once its off your CRs you can make a token settlement with them to never hear anything about it again. There is nothing you can do at this point with medicaid even though she may have been eligible at the time.

Message 2 of 27
jbishop1001
Frequent Contributor

Re: Medical collection - I had insurance! What now?!

I've read HIPPA. I don't see how it applies to my situation at all, though.

 

I'm trying to apply for a mortgage so I need the collection gone ASAP but refuse to pay something that should have been billed to my insurance. Should I go directly to the hospital and ask them to submit a claim? 

Starting Fico 8 Score: 571 EQ - 574 EX 605 TU Current Fico 8: 695 EQ 677 EX 709 TU
Message 3 of 27
gdale6
Moderator Emeritus

Re: Medical collection - I had insurance! What now?!


@jbishop1001 wrote:

I've read HIPPA. I don't see how it applies to my situation at all, though.

 

I'm trying to apply for a mortgage so I need the collection gone ASAP but refuse to pay something that should have been billed to my insurance. Should I go directly to the hospital and ask them to submit a claim? 


Ok, well Im sorry to say you will not get anywhere going to the hospital and asking them to submit a claim, it had to be submitted within 1 year of the service and it would be denied by medicaid at this late stage, your only other option is to get a PFD from the hospital. If you are going to be buying a home before that collection reaches CRTP you are going to be paying it either by a settled amount or in full, you cannot close until you do.

Message 4 of 27
jbishop1001
Frequent Contributor

Re: Medical collection - I had insurance! What now?!

That's not what the 2 different loan officer's I've been working with told me. I am applying for FHA - and they ignore medical collections. I don't know if it's because of the state I live in or what - but I was told it's not an issue to still have them. I asked the CA if I could settle with them for a lesser amount and they refused. They said before anything could be deleted it would have to be PIF. I'm thinking about trying again after SOL is up, but I'm not sure what they will tell me at this point.

Starting Fico 8 Score: 571 EQ - 574 EX 605 TU Current Fico 8: 695 EQ 677 EX 709 TU
Message 5 of 27
gdale6
Moderator Emeritus

Re: Medical collection - I had insurance! What now?!


@jbishop1001 wrote:

That's not what the 2 different loan officer's I've been working with told me. I am applying for FHA - and they ignore medical collections. I don't know if it's because of the state I live in or what - but I was told it's not an issue to still have them. I asked the CA if I could settle with them for a lesser amount and they refused. They said before anything could be deleted it would have to be PIF. I'm thinking about trying again after SOL is up, but I'm not sure what they will tell me at this point.


well if they are going to ignore medical CAs then there is no problem, ignore them, get your loan and close it. I would verify those medical debts are past your states SOL though. Good luck Smiley Happy

Message 6 of 27
jbishop1001
Frequent Contributor

Re: Medical collection - I had insurance! What now?!

Right, but the problem is that the collections are dragging my score down - preventing me from even being eligible. That's why I need them taken care of. And I have verified that they will be past my state's SOL in September (for 2 of them) and the other in October of 2014. They wont come off until 2015. Experian's report said they'd be removed July/August - when I asked why they told me they start their removal process earlier.

Starting Fico 8 Score: 571 EQ - 574 EX 605 TU Current Fico 8: 695 EQ 677 EX 709 TU
Message 7 of 27
growing123
Regular Contributor

Re: Medical collection - I had insurance! What now?!


@jbishop1001 wrote:

Right, but the problem is that the collections are dragging my score down - preventing me from even being eligible. That's why I need them taken care of. And I have verified that they will be past my state's SOL in September (for 2 of them) and the other in October of 2014. They wont come off until 2015. Experian's report said they'd be removed July/August - when I asked why they told me they start their removal process earlier.


Just out of curiosity, what state do you live in that the SOL is 6 or 7 years? 

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Message 8 of 27
fishbjc
Senior Contributor

Re: Medical collection - I had insurance! What now?!

A collection from six years ago probably won't give you much.  I think I gained 4 points from one removed from 2010. 

 

I don't think you're understanding the HIPPA process.  The reporting agencies don't know, or don't care, how it came about.....just that it's there.

Message 9 of 27
jbishop1001
Frequent Contributor

Re: Medical collection - I had insurance! What now?!

I'm not interested in HIPPA.

 

What I'd like to do is wait until I can no longer be sued for the debt - and then ask if they would accept a smaller amount in exchange for deletion. Very simply, I'm going to offer that they either accept my offer or never receive anything at all from me. I don't know why any company would turn away money when it's offered. I don't really believe that they have some "policy" they have to follow to remove items from your report. I don't want an update to "PAID." I don't want it reported at all! They bought my debt for pennies on the dollar - so they're lucky I even want to attempt to pay them anything. 

 

And I live in Michigan. Where my insurance used to constantly change. My income fluctuates througout the year, so when it's time to report my changes sometimes I'd be in a higher bracket. Hence, I make too much money to qualify for programs. Too much? I gross $16,000. But I make enough money to pay my rent, electricity, gas, car insurance, AND HEALTH INSURANCE?

 

I had a TOOTHACHE. The pain was so horrible that I had to resort to going to the ER to wait for 3 hours ONLY to ASK if I could be prescribed antibiotics and pain medicine. $600? I think not.

 

This is just my standpoint. I'm very upset with how accounts get handled by DHS - and the lack of effort to communiate. For instance, when I had to apply for state emergency relief (SER) for help paying my electric/gas bill (that gets REPORTED to 2 CRAs) they sent the gas payment to the WRONG gas company. Therefore, I had to wait for a reversal of the transaction before I could have the payment sent to DTE.

 

This resulted in 2 consecutive 120+ lates. #**bleep**

 

I don't mean to sound like I'm complaining about these bills, I just want to use the best scenario for the outcome I am looking for. 

Starting Fico 8 Score: 571 EQ - 574 EX 605 TU Current Fico 8: 695 EQ 677 EX 709 TU
Message 10 of 27
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