Consumer Reports: Fighting back against medical debt
If you're contacted by a debt collector for a medical bill you believe to be wrong, never pay it right away.
PHILADELPHIA (WPVI) -- If you've ever been contacted by a collection agency over medical debt, you are not alone.
Over 40 million people have unpaid medical bills sent to collections, and almost half of those bills contain at least one mistake, so you shouldn't automatically pay it. Consumer Reports says you need to do some research and know how to fight back, if necessary.
Earlier this summer, Lauren MacNeill got a curious bill from a collection agency saying she owed $71 to an urgent care center she never visited.
"I believe that they just made a mistake. I had never been to that urgent care," she said.
"Lauren's case is a textbook example of why you should almost always push pause when contacted by a debt collector for a medical bill," said Lisa Gill of Consumer Reports.
If you're contacted by a debt collector for a medical bill you believe to be wrong, never pay it right away. Instead, CR says to take the following steps.
Gather as much info as you can, including the name of the collection agency, the person you're speaking with, their phone number, address, email, and as much information about the bill as possible.
"There are a lot of scams out there so doing this can deter any phony debt collector," said Gill.
Next, ask the debt collector to send verification of the debt. You can expect to receive information on the debt in the mail within about five days after your request.
If the verification letter shows an error, file a dispute in writing by either email or certified letter within 30 days, or else the collection agency will assume the debt is valid.
Gill is helping MacNeil with her situation.
"We ended up having Lauren send a certified letter documenting the alleged errors and stating that she had no obligation to pay the bill. She still hasn't heard back, so she's not obligated to pay any of the debt."
"As I told my son this whole story, and he said, 'all of this for just $71?' And I said, 'Yes, but you can imagine if it was for thousands of dollars,'" said MacNeil.
One more tip: There might be a statute of limitations on how long a debt can be collected. Do not pay any part of the debt until you're sure you still owe it.
