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I received a debt collection call a few months ago from a professional debt collector for a debt I didn't recognize, followed by a written notice. I wrote back that I dispute the debt and requested verification. Now I've received a verification letter, and I'm not sure what to do next.

The verification letter has my name and some correct information about a hospital stay in 2019. It names the "assignor" as a medical services company I've never heard of. Googling shows they are a specialist company for a specialty unrelated to my hospital stay. The letter includes brief documentation about my hospital stay, but nothing listing any work done by the assignor company or naming them at all. The documentation lists my insurance information correctly, but my insurance company has no record of any claim being filed. I never received a bill from the assignor.

In short, although they have some of my personal medical information, I don't believe that they ever performed any service for me, and the documentation the debt collector has provided certainly does not show that they did.

I've read about the FDCPA, but all the info I've found gets pretty vague after requesting the validation letter. The letter I received correctly identifies me, but the documentation doesn't in any way show that a debt was incurred, and I don't believe one was.

My inclination is to write back pointing out that there's nothing in their documentation to indicate that any work was done or that any debt is owed. The amount of the debt is only $600, so if there's anything useful I can do before the "get a lawyer" step, that would be preferable. Both me and the debt collector are located in California, USA.

What do you do when a debt collector's verification letter correctly identifies you, but does not appear to identify or support a claimed debt?

Robert
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2 Answers2

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Contact the creditor/assignor.

The Debt Validation Letter contains the name and address of the original creditor so that you can contact them and verify the claim. Hospitals commonly use services of multiple parties which may end up billing you or your insurance company separately.

Act promptly to avoid defaulting.

If you feel something you lawfully requested in your validation letter was not provided, you may point this out and request it again.

For example, in your letter you can specifically request from the collector:

  • Proof I owe the debt
  • The amount of the debt
  • The age of the debt
  • Your ownership of the debt
  • Your debt collector license, or right to collect on the debt in my state
  • A calculation of whether the statute of limitations has expired for collecting the debt.
  • The last action taken on the account

See Fair Debt Collections Practices Act (pdf) Section 809 "Validation of debts"

Matthew K
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Surprise bills are often issued by specialists such as pathologists and hospitalists, who are out-of-network for your insurance even when the hospital is in-network.

Consider that the bill is as likely to be a surprise bill as it is to be an erroneous bill.

Orange Coast- reinstate Monica
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